UBS: Credit Suisse Supply Chain Funds Offers To Redeem Fund Units

(RTTNews) - Swiss banking major UBS Group AG (UBS) announced Monday that the Credit Suisse Supply Chain Finance Funds have made an offer to redeem fund units.

Fund investors who choose to accept the offer will be redeemed at 90% of the Net Asset Value determined on February 25, 2021, net of any payments made to the fund investors since then, through newly established feeder subfunds.

UBS said the offer commenced on June 17, 2024 and will be open until July 31, 2024. Fund investors, who will receive details of the redemption offer through their custodian, are asked to review the terms and the disclosures that accompany the offer.

According to the firm, the offer aims to give fund investors certainty, an accelerated exit from their positions and a high level of financial recovery. It will allow an early exit from fund investments compared to distributions under the ongoing recovery process.

The offer will be funded by UBS through the purchase of units of the feeder subfunds.

UBS Group further said the offer is not expected to have a material effect on its financial results or CET1 capital.

UBS AG expects to record a provision of around $0.9 billion on a consolidated basis in connection with the offer in the second quarter. No material impact is expected on UBS AG on a standalone basis.

The investment in the Supply Chain Finance Funds will be managed as part of UBS's Non-Core and Legacy portfolio.