Credit Suisse prepares Swiss business sales to raise capital
Credit Suisse is preparing to sell parts of its Swiss domestic bank as it attempts to close a capital hole of around SFr4.5bn, according to people briefed on the discussions.
With less than two weeks until the lender is due to present plans for a radical strategic revamp, executives are also in the final stages of plotting a heavy round of job cuts, which could affect up to 6,000 of the group’s 50,000 global employees.
Ulrich Körner was installed as Credit Suisse chief executive over the summer with a mandate to strip back the beleaguered Swiss lender’s accident-prone investment bank and find SFr1.5bn of cost savings, following a succession of scandals in recent years that has seen the group’s share price hit record lows.
People involved in discussions over the unit said they were confident of agreeing a sale by October 27 and were considering bids from several suitors, which ranged from buying the whole division to parts of it.
This story originally appeared on: Financial Times - Author:Owen Walker
