UBS Group AG and Credit Suisse Group AG have emerged as the most trending companies on Twitter, generating over 8,000 mentions from more than 1,200 influencers over the last seven days, reveals the Social Media Analytics Platform of GlobalData, a leading data and analytics company.
The surge in conversations was attributed to UBS’s agreement to take over Credit Suisse as a measure to contain the ongoing banking and financial crisis, which was triggered by the collapse of Silicon Valley Bank (SVB) in early March.
Smitarani Tripathy, Social Media Analyst at GlobalData, comments: “Most of the influencers’ sentiments were positive towards the rescue of Credit Suisse, which is considered one of the most significant banks to avoid global financial turmoil. The emergency deal is seen as beneficial not just for UBS but also for the global economy, as it is expected to further consolidate the global wealth management and banking system.”
Below are a few popular influencer opinions captured by GlobalData’s Social Media Analytics Platform:
“Credit Suisse was too big to fail. Hopefully it’s acquisition by UBS will help calm markets this week. Regardless, our banking industry has serious issues that need to be addressed.”
“Looks like a fantastic deal for UBS. Wipe out of AT1 holders + existing TBV + state support provides very substantial risk buffer. Consolidates domestic Swiss banking market further, significant expansion of wealth management franchise. Prob adds 20-30bn+ of value med-long term.”
“THE END OF A SWISS ERA. THERE GOES MY FORMER EMPLOYER @UBS paying more than $2B for its rival. It will be an all share deal and priced at a fraction of Credit Suisse’s price at the close on Friday, when the bank was valued at about 7.4 billion francs ($8 billion.)”
“Second historic weekend in global finance in a row UBS buys Credit Suisse for a fraction of its closing price on Friday. CS valued at SFr 0.75 Headline price SFr3bn ($3.25bn) Swiss law changed in extraordinary measure to hammer the deal home all in a matter of hours”
“As of Dec 2022, Credit Suisse had $600 billion of assets and $260 billion of deposits. UBS buys these deposits for CHF3Bl, that’s less than 1% for all the deposits and 0.6% of assets. That’s an even better deal than Barclays got when it bought Lehman out of bankruptcy.”