UBS, investment banking company - is likely to take over Credit Suisse bank.
UBS AG is asking the Swiss government to cover about $6 billion in costs if it were to buy Credit Suisse.
Credit Suisse is one of the world's largest wealth managers and is considered one of 30 global, systemically important banks.
The collapse of this bank would ripple throughout the global financial system. Again, the takeover of Credit Suisse by UBS may result in cutting jobs by around 10,000.
If the merger happens, UBS will be a prized business within Credit Suisse, such as wealthy clients in Asia and the Middle East.
However, Credit Suisse’s troubled investment bank could derail UBS’s existing strategy and perceived stability with investors.
Both UBS Group and Credit Suisse are opposing a forced combination of the banks.
Apart from UBS, Other financial institutions are examining the situation to see if they could buy parts of Credit Suisse.
Credit Suisse’s latest management team, some of who worked previously at UBS, appealed for more time to prove they could turn things around.
Bank of England and Swiss Bank are in favor of this Merger
UBS's board is reluctant to explore a deal with its fellow Swiss bank.
Swiss authorities is pushing UBS into overcoming its reluctance
If this Merger happens, it could be the merger of the century
Wait and Watch
"We are now awaiting a definitive and structural solution to the problems of this bank," French Finance Minister Bruno Le Maire told Le Parisien newspaper. "We remain extremely vigilant."
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