The multinational investment bank UBS Group said on Tuesday that Credit Suisse CEO Ulrich Koerner will stay on after the takeover of its Swiss rival as part of a new leadership team of the combined group.
Announcing its leadership reshuffle, UBS also promoted Todd Tucker, now finance chief of its core asset management business to group chief financial officer, succeeding Sarah Youngwood who decided to leave once the deal closes after a year in the job.
UBS is taking over Credit Suisse as part of a Swiss government-orchestrated rescue backed by as much as 250 billion Swiss francs (USD 281.25 billion) of state support.
Besides Koerner, who has spent over a decade at UBS, before returning to Credit Suisse in 2021, UBS CEO Sergio Ermotti largely leaned on UBS executives in pulling together his new team, despite some media speculation that a number of Credit Suisse bankers would take up senior roles at the new group.
“The new leadership team under CEO Sergio Ermotti clearly reflects the fact that UBS takes over CS. There are fewer changes than expected,” Vontobel analyst Andreas Venditti said in a note.
Commenting on Koerner’s future role, UBS said Koerner would be responsible for Credit Suisse’s operational continuity and client focus, while supporting its integration. Credit Suisse executive board members will report to both their relevant UBS executive board member and Koerner.
It is unclear whether he will stay on after the integration is completed.
UBS reiterated that it will evaluate all options for Credit Suisse’s Swiss business and will “communicate further on this matter in the coming months.”
UBS said that following the legal closing of the transaction, which it expected in the coming weeks, UBS Group AG would have two separate parent companies – UBS AG and Credit Suisse AG – throughout the integration process it has said could take three to four years.
During that time, each institution will continue to have its own subsidiaries and branches, serve its clients and deal with counterparties.
It said Michelle Bereaux, who has been with UBS since 1998, will become group integration officer, while several top UBS managers will retain their jobs.