SINGAPORE – UBS Group is weighing a plan to cut about two-thirds of Credit Suisse Group’s investment bankers in the Asia-Pacific as part of the first major job reductions in the region following the merger of the two Swiss lenders, people familiar with the matter said.
That would cost about 200 jobs at its global banking division in Asia over the next couple of months, the sources said, asking not to be identified because the matter is confidential.
UBS is still looking to retain more than 100 Credit Suisse investment bankers across Asia, with many of them focusing on markets outside Hong Kong, the sources indicated.
The headcount for Credit Suisse’s domestic securities venture in China is largely unaffected by the latest round as the company is in the process of selling its stake to a new buyer, one of the sources said.
The acquisition of Credit Suisse has increased UBS’ workforce to about 120,000, which the bank intends to ultimately reduce by about 30 per cent, Bloomberg previously reported. UBS aims to reduce staff costs by about US$6 billion (S$8 billion) over the next several years.
UBS on Tuesday reshuffled its Asia global banking division, appointing some senior Credit Suisse Group veterans to help bolster coverage and sector expertise across the region, according to an internal memo.
Mr Tan Kuan-Ern, former co-head of investment banking for the Asia-Pacific at Credit Suisse, has been named co-head of Asia coverage with Mr John Lee, the existing head of Greater China. Mr Tan will also partner with Mr Nicolo Magni to build a “leading franchise” in South-east Asia and South Asia, the memo said.
Mr David Lee Kyungin is appointed head of global banking for South Korea and vice-chair for Asia to help cross-border activities between North Asia and South-east Asia.
Mr Christian Deiss, a veteran of more than 24 years at Credit Suisse, was made co-head of the global industrials group for Asia with Ms Eileen Chan, according to the memo.
UBS is looking to retain more than 100 Credit Suisse bankers in some Asian countries and South-east Asia, seeking to shore up talent in products and markets where its Swiss rival has a stronger presence.
A Hong Kong-based spokesman confirmed the contents of the memo.
To boost sector and product coverage, UBS also made the following appointments of former Credit Suisse bankers:
Mr Allan Chu will jointly head the technology, media and telecoms division for the Asia-Pacific with UBS’ Mr Axel Granger and Mr Tim McKessar, but will primarily focus on China’s technology.
Mr Aaron Tan, former head of Asia-Pacific energy and transition, will run the energy transition and global industries group in South-east Asia.
Mr Fabrice Delacroix, former director of energy and transition at Credit Suisse, will head renewables.
Mr Aaron Oh, former co-head of the Asia financing group, will head structured origination within capital markets, with the equity-linked team reporting to him; Ms Jennifer Choi will become co-head of equity-linked Asia with UBS’ Mr Brian Chau.
Mr Ho Cheun Hon, the former co-head of equity capital markets for Asia-Pacific, will be vice-chair of equity capital markets for Asia.
On Monday, UBS announced an overhaul of its global investment banking division, including naming the unit’s mergers and acquisitions (M&A) chiefs, marking a key step in integrating Credit Suisse.
Credit Suisse’s Mr David Kostel will become global co-head of coverage, while Mr Tom Churton, also from Credit Suisse, was named global chief of staff, a memo to staff seen by Reuters showed.
Mr Christian Lesueur, who was global head of TMT Investment Banking at UBS, has been promoted to global co-head of coverage and will continue to oversee technology, media and telecoms, which will now be split into two groups.
Mr Nestor Paz-Galindo and Mr Marc-Anthony Hourihan will be global co-heads of M&A in the merged organisation. BLOOMBERG, REUTERS
Source : TheStraitsTimes