Holders of $17bn of Credit Suisse bonds wiped out under UBS takeover
Economía Tenedores de $ 17 mil millones en bonos de Credit Suisse eliminados por la adquisición de UBS Hace 3 minutos Noticias de Bitcoin Ethereum Holders of $17bn of Credit Suisse bonds will have their investment wiped out following the banks takeover by UBS, in a surprise move that is expected to cause ructions in European debt markets when they open on Monday. As part of the historic deal between the banks, Swiss financial regulator Finma ordered that SFr16bn of Credit Suisses additional tier one (AT1) bonds, a relatively risky class of bank debt, will be written down to zero. Credit Suisse said it was informed of the decision by the regulator as it thrashed out the final details of its SFr3bn takeover by UBS, which was announced on Sunday evening after several days of intense negotiations. “The extraordinary government support will trigger a complete writedown of the nominal value of all AT1 shares of Credit Suisse in the amount of around SFr16bn, and thus an increase in core capital,” Finma said. But several people involved in negotiating the deal said wiping out AT1 holders — a move that appeared to surprise markets — would have wider repercussions and was likely to lead to a sell-off of other