According to an internal document seen by Reuters, UBS Group AG (UBSG.S) has deemed at least four nations, including South Korea and India, as “slow” in giving the regulatory permissions required to complete its acquisition of Credit Suisse.
According to the paper dated Sept. 6 and distributed to global personnel, UBS has also designated Ireland and Saudi Arabia as “slow jurisdictions” in awarding licenses. Its contents have not previously been publicized.
The document, created following a global evaluation to evaluate the timing for regulatory clearances required for the integration to be completed, warned that uncooperative regulators might jeopardize deals like the merging of Swiss banks.
When UBS encounters “difficult jurisdictions or regulators,” the bank stated in the letter, the uncertainty in obtaining regulatory clearances could also result in the winding down of enterprises and the sale of assets.
At the time, the second-largest bank in Switzerland, Credit Suisse, endured years of scandals and losses before being saved in March of this year by former rival UBS in a state-engineered acquisition.
In June, UBS finalized the acquisition of Credit Suisse. The agreement that led to the first global bank bailout since the 2008 financial crisis still needs regulatory clearance in the markets where both banks do business.
Reuters’ requests for a response from UBS and Credit Suisse were unanswered.
South Korean, Indian, Irish, and Saudi Arabian central bank spokespeople did not immediately respond to Reuters’ request for comment.
Comment Template