15 September 2010
Standard Bank Group and Credit Suisse end joint venture
After four years Standard Bank Group and Credit Suisse have amicably agreed to end
their joint venture, which operated through Credit Suisse Standard Securities (Pty)
Both parties consider the joint venture a success. During the four years of the
joint venture, CSSS grew its market share from under 3% to 9% to achieve a consistent
Top 2 ranking among broking members of the securities exchange operated by the JSE
Going forward, Credit Suisse and Standard Bank Group remain committed to the South
African equities market and both parties plan to develop independent wholly-owned
platforms in line with their strategic priorities.
Standard Bank Group will, subject to regulatory approval, acquire 100% of the shares
of CSSS. The intention is to rebrand CSSS as Standard Securities. The transaction
is anticipated to be concluded towards the end of this year.
Both parties are working together to ensure a smooth transition for CSSS's clients
Consistent with its position as a leading global equities house, Credit Suisse will
develop a wholly owned integrated equities business. Credit Suisse will operate
its business as Credit Suisse Securities (Johannesburg) (Pty) Ltd, a legal entity
licensed to trade on the securities exchange operated by the JSE Ltd and Safex.
Credit Suisse will offer its clients the benefit of a global integrated business
model, offering private banking and investment banking services in South Africa.
Within its investment banking platform, Credit Suisse will offer its clients equities,
fixed income and corporate advisory and financing services.
Standard Bank Group will focus on further developing its institutional stock-broking
capabilities in key emerging markets. It plans to enhance the offerings of its broking
interests in Africa, as well as in other emerging markets.
Standard Bank Group's equity derivative and capital markets businesses will be aligned
with Standard Securities to deliver an integrated offering to both its domestic
and international client base.