2020 has been light on mergers, as companies have held off on big ticket deals during these “unprecedented times”. *Throws up everywhere upon those words hitting my ears.*
Yet, some big news might be coming out of Europe, as UBS sent a note during class to Credit Suisse asking, “Do you like me?”
There’re rumors that UBS and Credit Suisse are talking. At least that’s what I heard from Hans near the jungle gyms at recess today.
If a merger occurs, it would form one of the largest banks in Europe, ranking fourth behind HSBC, BNP Paribas, and Credit Agricole in terms of total assets. But first in terms of tax evasion.
Both banks, allegedly, are involved in potential deal discussions, nicknamed “signal”. Which is apparently Swiss for “UBS and Credit Suisse merger”. Trust me, I used Google Translate.
And apparently investors loved the news, as stock prices for both companies rose 2.5% and 4.8% respectively.
Well, it’s either that, or the investors were just thrilled for the potential of 15,000 job cuts that would occur should the deal close. A proud employee one day and a synergy the next. That’s capitalism, baby!