UBS Makes Changes To Buyback Program Following Credit Suisse Takeover

• UBS Group AG (NYSE: UBS) said it is changing its $6 billion share buyback program following its takeover of Credit Suisse Group (NYSE: CS).

• Under the buyback program launched in March 2022, UBS Group decided to issue new shares for the deal.

• However, with the latest plan, the company would instead use shares already issued, Reuters reported.

• Under the deal, one UBS Group share will be exchanged for 22.48 shares in Credit Suisse, requiring a maximum of 178 million UBS Group shares to be used.

• After getting approval from the Swiss Takeover Board, the company said it would use some of the shares for the takeover.

• In March, UBS Group inked a merger deal to buy rival Credit Suisse for 3 billion Swiss francs in stock and agreed to assume up to 5 billion francs in losses.

• The merger had been engineered by Swiss authorities to avoid "more market-shaking turmoil" in global banking.

• The buyback will run until 2024. Under the program, 298.5 million shares have been repurchased, equivalent to 8.47% of its stock.

• Price Action: UBS shares are up 0.60% at $21.20 in premarket trading on the last check Tuesday.

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