UBS Sued by Credit Suisse Investor Arguing Price Was Too Low (1)

A Credit Suisse AG shareholder is suing UBS Group AG for at least 1.06 million francs ($1.17 million), claiming he was short-changed by the bank’s government-brokered takeover of its stricken rival.

The investor claims UBS was unfairly able to snap up the shares for a bargain 0.76 Swiss francs apiece — far below the closing price of 1.86 Swiss francs on March 17, the last trading day before the deal was agreed.

“In a takeover, the shares normally command a high premium,” lawyer Dimitri Santoro wrote on behalf of his client. Offering shareholders less than the then-current stock price went ...