UBS sells former Credit Suisse arm to its management

FILE PHOTO: The logo of Swiss bank UBS is seen at the bank's branch in Shanghai·Reuters
Reuters
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ZURICH (Reuters) - UBS has agreed to sell a former insurance-linked investment arm of Credit Suisse to the management of the business, the Swiss bank said on Tuesday.

UBS bought its longtime rival Credit Suisse in 2023 after the bank collapsed following a string of financial setbacks. UBS has since then been working to integrate Credit Suisse into its operations while selling off parts of the business.

"UBS Group AG has today signed a definitive agreement to sell its 100% holding in Credit Suisse Insurance Linked Strategies Ltd ("CSILS") to the CSILS management team led by Niklaus Hilti," the bank said in a statement.

UBS did not disclose the price of the transaction.

The deal is expected to close in the second half of the year, subject to regulatory approvals. Upon closing, CSILS will operate independently of UBS under a new name and continue to manage the funds and single investor fund mandates, UBS said.

"UBS and the CSILS team will work together to ensure a smooth and successful transition for investors," UBS added.

(Writing by Dave Graham, Editing by Louise Heavens)