Credit Suisse CEO dismisses activist investor RBR’s call for break-up, relocation of investment bank
Credit SuisseGroup [VTX:CSGN] CEO Tidjane Thiam has hit back at activist shareholder RBR Capital Advisors’ campaign for an overhaul of the Swiss bank, The Daily Telegraph reported.
Thiam said Credit Suisse believes in its strategy and that its strategy is working.
RBR, in an open letter to Credit Suisse shareholders on 20 October, proposed that Credit Suisse should split off and relocate its investment banking arm First Boston from Zurich to New York City or London due to lower regulatory costs in the US. RBR also urged Credit Suisse to float its asset management business on the Swiss stock exchange.
Thiam said Credit Suisse considers itself better-placed than people external to the company to make such decisions, according to The Daily Telegraph report.
The CEO said he intends to hold a meeting with RBR chief executive Rudolph Bohli next week, the item added.
Credit Suisse published its 3Q17 results on Thursday, 2 November. The bank reported pre-tax income of CHF 400m (EUR 343.5m), an 80% year-on-year increase; and adjusted net revenues of CHF 5bn.
Thiam said the 3Q17 results, which included net profits of CHF 244m, showed “ample evidence” of the success of his strategy, The Daily Telegraph report said.
Credit Suisse’s market capitalisation stood at CHF 41.76bn at the close of trading in Zurich on Thursday.
The Daily Telegraph report appeared on page 4 of the newspaper’s Business section on Friday, 3 November.