UBS seeks Swiss government backstop for Credit Suisse deal, Bloomberg says

UBS (UBS) is asking the Swiss government for a backstop to cover future risks if it were to buy Credit Suisse (CS), Jan-Henrik Forster, Dinesh Nair, Marion Halftermeyer and Esteban Duarte of Bloomberg report, citing people with knowledge of the matter. UBS is discussing scenarios in which the government would take on certain legal costs and potential losses in any deal, sources told Bloomberg. UBS is exploring an acquisition of all or parts of Credit Suisse at the urging of regulators, Bloomberg reported earlier. Under one likely scenario, the deal would involve UBS acquiring Credit Suisse to obtain its wealth and asset management units, while possibly divesting the investment banking division, sources said. Reference Link