The speed of Credit Suisse's collapse has left markets and commentators reeling, along with growing apprehension of another financial crisis looming due to failure in the banking sector.
On 14 March, the Swiss bank said it had “identified material weaknesses” in its internal reporting controls after a call from the Securities and Exchange Commission at the eleventh hour forced it to delay its annual results.
This proved to be the final nail in the coffin for the embattled bank. Investors began bolting for the exit, shaving as much as 30% off its share price. Meanwhile, its bonds were also showing signs of distress.
Although Credit Suisse tapped the Swiss National Bank for up to CHF50bn to restore market confidence, this proved to be a temporary sticking plaster and takeover rumours began to swirl.
Following intervention from the Swiss government at the weekend, a deal was struck for UBS to take over the ailing bank on 19 March and approved by the Swiss regulator Finma.
UBS agreed to pay up to CHF3bn ($3.2bn) for its cross-town rival in an all-share deal, marking the merger of two of the world's largest wealth management businesses. It wasted no time outlining plans to downsize Credit Suisse’s investment bank and spin out its advisory unit into a new division called CS First Boston.
Financial News has covered the key developments as they unfolded. Here's your catch-up service:
20 March
‘It’s game over’: Anger and tears from shocked Credit Suisse staff after historic UBS takeover
Six things Credit Suisse is telling staff about their future after the UBS takeover
Revealed: The fund houses taking a hit on Credit Suisse AT1 bonds as lawyers line up claims
Article continues below
Cleary Gottlieb, Sullivan & Cromwell win prized legal mandates on UBS’ takeover of Credit Suisse
Will UBS live to regret its Credit Suisse takeover?
Credit Suisse short-sellers book $430m in profit
19 March
UBS takes over crisis-stricken rival Credit Suisse for $3.25bn after government intervention
UBS to shrink Credit Suisse’s investment bank after historic merger
18 March
BlackRock denies Credit Suisse takeover talks
17 March
UBS in discussions to take over Credit Suisse – report
16 March
Credit Suisse to borrow $54bn from Swiss Central Bank after share price slump
Credit Suisse crisis: Panicked bankers, break-up calls and central bank injection
‘How would you like to buy Credit Suisse for a franc?’
15 March
Credit Suisse shares drop after top shareholder rules out further investment
Swiss central bank to provide Credit Suisse liquidity backstop as shares battered
Credit Suisse ices Brexit office expansion in Madrid amid ongoing job cuts
14 March
Credit Suisse finds ‘material weaknesses’ in controls after annual report delay
2 March
Credit Suisse recovery weighed down by billions in legal bills
28 February
Credit Suisse ‘seriously breached’ Greensill obligations, Swiss regulator finds
21 February
9 February
Credit Suisse hands Michael Klein three top jobs after $175m boutique buy
Credit Suisse’s investment bank leads $8bn loss
8 February
Credit Suisse cuts 35 London dealmakers in latest layoffs
Credit Suisse set to pay bonuses for some dealmakers in three instalments
18 January
Credit Suisse rolls out more cash bonuses to keep senior bankers
11 January
Top Credit Suisse investor Harris Associates cuts stake following capital raise
3 January
Credit Suisse’s European banking co-head Cathal Deasy to exit
2022
20 December
Credit Suisse leads $34bn dealmaking fee slump in 2022
9 December
Credit Suisse completes $2.4bn capital raise amid cost-cutting review
5 December
Activist who called for Credit Suisse break-up says latest overhaul isn’t enough
Saudi prince sets sights on Credit Suisse spinoff
1 December
Credit Suisse’s comeback plan hasn’t won over investors yet
23 November
Credit Suisse warns of $1.6bn hit in fourth quarter as concerned clients pull investments
9 November
Credit Suisse staff cuts hit London leveraged finance and ECM teams as swingeing layoffs start
8 November
Credit Suisse plans to cut 450 frontline jobs at its European investment bank
3 November
Credit Suisse hands out $300m in retention bonuses to keep dealmakers
27 October
Six key takeaways from Credit Suisse’s radical overhaul
Credit Suisse plans to scale back dealmaking unit in Europe
How Michael Klein could turn Credit Suisse around
Credit Suisse’s First Boston spin-out bets boutique pay model will keep top dealmakers
Credit Suisse to slash 9,000 jobs, hive off investment bank in radical overhaul
24 October
Credit Suisse reaches €238m settlement over French tax fraud case
7 October
Credit Suisse leads $26.4bn decline in dealmaking fees as boom fades
4 October
Credit Suisse’s debt drama worsens banker exodus: ‘Turnover is awful’
22 September
Credit Suisse draws up plans to split investment bank in three
2 August
Credit Suisse irks European bankers with retention bonuses targeting key US, Asia staff
1 August
Credit Suisse bankers say they want out: ‘More people than ever’ looking to exit
27 July
Credit Suisse names Ulrich Körner as new CEO as it unveils fresh overhaul after $1.7bn loss
Why Credit Suisse’s ‘fundamental’ investment bank overhaul is long overdue
27 July
Credit Suisse names Ulrich Körner as new CEO as it unveils fresh overhaul after $1.7bn loss
27 June
Credit Suisse fined $2m over money laundering linked to cocaine trafficking
22 June
Credit Suisse seeks way out of $607m Bermuda court claim
10 June
State Street rules out bid for Credit Suisse after report of takeover offer
8 June
Credit Suisse warns it is facing another loss in the second quarter
7 June
Credit Suisse hikes junior pay again to $110,000 as salaries spiral
27 April
Credit Suisse reveals $284m loss as investment bank tumbles
30 March
Credit Suisse ruled liable in fraud case in Bermuda
9 March
Credit Suisse’s record on climate change slammed by €2tn investor group
11 February
Credit Suisse’s battles: Revenue fall, silence on Greensill report and sluggish turnaround
17 January
Horta-Osório’s exit throws Credit Suisse’s grand transformation into disarray
2021
4 November
Credit Suisse shutters prime broking after $5.5bn Archegos hit in pivot towards wealth management
4 October
Credit Suisse raided as part of police investigation into Greensill
29 July
Damning Archegos report slams ‘lackadaisical’ attitude to risk at Credit Suisse
8 June
The inside track on Credit Suisse’s $5.5bn Archegos fallout
18 May
Bankers part ways with Credit Suisse over Archegos
1 March
Credit Suisse suspends $10bn in funds tied to Greensill
2020
17 December
Credit Suisse faces anti-money laundering charges linked to Bulgarian mafia
6 October
Credit Suisse apologises after report of afro wigs at chairman’s party
2 September
Swiss regulator launches case against Credit Suisse over spying of execs
10 February
Credit Suisse re-enters ETF market after seven-year hiatus
To contact the author of this story with feedback or news, email FN Staff
