After the historic emergency merger of the two major Swiss banks UBS and Credit Suisse, outrage about the deal is also growing among investors in special bonds.
(Photo: Bloomberg)
Frankfurt There is resistance to the complete write-off of special Credit Suisse bonds (AT1 bonds) as part of the takeover by UBS. The affected investors, which according to the Bloomberg agency also include well-known investment companies such as Pimco, Invesco and Bluebay, are considering taking legal action against the decision.
Details were not yet available as of Wednesday afternoon. Law firms such as Quinn Emanuel, which specializes in commercial law, or Nieding + Barth in Frankfurt are currently examining the possibilities of court proceedings. However, representatives of Quinn Emanuel announced on Wednesday in a first overview of the legally “very complex and new situation” that they want to bundle the interests of affected investors.
The so-called AT1 bonds from Credit Suisse are worth 16 billion Swiss francs. AT1 bonds were created after the financial crisis to act as a buffer when banks were about to fail. The abbreviation AT1 stands for Additional Tier-1 Capital.
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