Section of Securities and Exchange Commission He said UPS Group Wednesday (July 8) said it would not recommend that the regulator take enforcement action against the securities exchange ordered by the Swiss Financial Market Supervisory Authority (Wherever).
Securities and Exchange Commission Corporate Finance Department He said this in A letter Written in response to Incoming message Written on behalf of UBS Group.
The SEC’s decision removes a potential legal hurdle to UBS Group’s crisis resolution plans, as securities transactions that FINMA may require are intended to ensure an orderly resolution for the bank, Reuters. I mentioned Wednesday.
This potential “bailout” of UBS Group is designed to recapitalize the failed lender by converting debt securities into equity rather than seeking taxpayer support, according to the report.
The SEC said that although this plan would constitute an “offer” and “sale” of securities under U.S. law, it could qualify for an exception to the registration requirements of the Securities Act, according to the report.
It was reported in October 2024 that FINMA would ask UBS to review its rules Recovery and emergency plans Due to the bank’s June 2023 acquisition of Credit Suisse.
The Swiss central bank announced in March 2023 that UBS would do so buying Its then-struggling competitor, Credit Suisse, entered into a $3 billion government-backed deal.
The announcement came after nine days of anxiety in the banking sector after Credit Suisse saw its shares lose a quarter of their value and was forced to take out a $54 billion central bank loan that did little to restore investor confidence.
In another separate move, it was reported on Thursday (July 2) that UBS is planning to launch a bank Bank For wealthy Americans, as part of this effort, the lender is months away from trying out day-to-day banking for its employees in the U.S.
In April, it was reported that UBS was among a group of Swiss banks testing a franc peg Stable coin In their homeland. The CHF Stablecoin Protection Fund will study ways to link blockchain applications to fiat currency. UBS said in the announcement that the participating companies aim to support the development of the Swiss digital money ecosystem.
