Exclusive-UBS names South Korea, India, others as 'slow' on Credit Suisse approval
By Engen Tham and Selena Li
SHANGHAI/HONG KONG (Reuters) -UBS has identified at least four countries, including South Korea and India, as being «slow» to grant the regulatory approvals needed to complete its takeover of Credit Suisse, an internal document reviewed by Reuters shows.
The Swiss banking giant has also highlighted Ireland and Saudi Arabia as «slow jurisdictions» in granting licences, according to the previously unreported document which was dated Sept. 6 and was circulated to UBS staff globally.
Prepared by UBS after a global review to assess the timeline of regulatory approvals necessary for the integration of Credit Suisse to complete, the document said uncooperative regulators could put transactions such as the Swiss bank deal at risk.
The document says that «a single non-cooperative regulator can jeopardize the timeline of the parent bank merger and other transactions», impacting other related integration deals.
The uncertainties could lead to winding down businesses and asset sales, when UBS faces «difficult jurisdictions or regulators», the Swiss bank said in the document.
Credit Suisse, which was Switzerland's second-biggest bank, suffered years of scandals and losses before it had to be rescued in March in a state-engineered takeover by UBS.
Although UBS completed the takeover in June, it still needs approvals from regulators in markets where both the banks operate for the legal completion of the first rescue of a global bank since the 2008 financial crisis.
Credit Suisse declined to comment. UBS did not respond to a request for comment. Spokespeople for central banks in South Korea, India, Ireland, and Saudi Arabia also did not immediately respond to Reuters requests for comment.
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