UBS has appointed Sergio Ermotti as group CEO to oversee the integration of Credit Suisse, less than two weeks after the regulator-orchestrated $3.2bn rescue deal was announced.
In a statement, the Swiss bank said it took the decision in light of the new challenges facing the firm following the acquisition.
UBS also confirmed current chief executive Ralph Hamers has agreed to step down.
Ermotti served as CEO for nine years before exiting the firm in 2020. UBS noted his experience in leading the firm after the global financial crisis leaves Ermotti “ideally placed to pursue the integration of Credit Suisse”.
Following his appointment, Ermotti said: “I am honoured to be asked to lead this bank at a time that is so important for all its stakeholders and for Switzerland. I would like to express my gratitude to Ralph for steering UBS so successfully. The task at hand is an urgent and challenging one. In order to do it in a sustainable and successful way, and in the interest of all stakeholders involved, we need to thoughtfully and systematically assess all options.
“I am conscious of the uncertainty many feel and I promise that, together with my colleagues, our full attention will be on delivering the best possible outcome for our clients, our employees, our shareholders and the Swiss government.”
Integration is UBS’s ‘single most important task’
Ermotti will leave his current role as chair of insurer Swiss Re following its AGM, before taking over from Hamers on 5 April. Hamers will then move to an advisory role with the firm.
UBS chair Colm Kelleher said: “On behalf of the whole board, I would like to express my deep respect and gratitude for all that Ralph has achieved over the last two-and-a-half years and for his instrumental role in delivering the Credit Suisse deal, as well as his understanding of the current situation and willingness to step down.”
“While the acquisition will support UBS’s existing strategy, it imposes new priorities on us. With his unique experience, I am very confident that Sergio will deliver the successful integration that is so essential for both banks’ clients, employees and investors, and for Switzerland. I know Sergio will hit the ground running.”
Following his decision to step back, Hamers said: “Integrating Credit Suisse is UBS’s single most important task and I am confident that Sergio will successfully guide the bank through this next phase. I am of course sorry to leave UBS, but circumstances have changed in ways that none of us expected.
“I am stepping aside in the interests of the new combined entity and its stakeholders, including Switzerland and its financial sector – it has been a pleasure and privilege to lead this great bank to where it is today.”
See also: Managing uncertainty post-Credit Suisse: A question of weighting?
