Credit Suisse Deal Will Turn UBS Into Powerhouse, JPMorgan Says

UBS Group AG’s $3.3 billion acquisition of rival Credit Suisse Group AG will transform it into a banking juggernaut at a bargain price, JPMorgan analysts said Tuesday.

The deal is set to turn UBS into a wealth management “powerhouse” with “one of the most attractive business models in global banking,” the analysts led by Kian Abouhossein said in a research note. Meanwhile, the price paid is “attractive” for UBS even after factoring in potential losses on Credit Suisse assets, litigation costs and restructuring expenses, they said.

UBS bought Credit Suisse last month in a deal orchestrated by the Swiss ...