ZURICH (Reuters) -UBS is offloading a part of the Credit score Suisse enterprise it acquired final 12 months with a deal to promote the fallen financial institution’s 50% stake in bank card supplier Swisscard.
UBS will promote its 50% holding within the firm to its three way partnership accomplice American Categorical (NYSE:), Swisscard stated in an announcement.
Phrases of the deal weren’t disclosed.
After the deal, Amex will grow to be the only proprietor of Swisscard, with Credit score Suisse prospects transferring to the prevailing UBS bank card platform.
Swisscard stated it will proceed to challenge all different playing cards it points below the American Categorical, Mastercard (NYSE:) and Visa (NYSE:) licenses and can proceed to function the American Categorical enterprise in Switzerland.
There isn’t a near-term affect on any of those cardholders, retailers or companions, the corporate stated.
Following its emergency takeover final 12 months, UBS is now divesting components of the Credit score Suisse enterprise. In June it offered a stake in Credit score Suisse Securities (China), and in July it agreed to promote a former insurance-linked funding arm of the financial institution to its administration.
UBS on Monday stated it was totally dedicated to its bank card enterprise, however issuing bank cards in Switzerland by means of Swisscard didn’t “align with the existing operational setup and strategic priorities of UBS as legal successor to Credit Suisse.”
The financial institution stated there was no want for motion by cardholders, with purchasers holding Credit score Suisse branded bank cards to be told about new card issuance within the first half of 2025.
