Credit Suisse scrambles to finalise revamp as deadline looms- reuters

ZURICH/FRANKFURT, Oct 20 (Reuters) - Credit Suisse is racing to firm up sales of part of its business that could limit the cash it needs from investors, a person with direct knowledge of the matter said, with just days to go before the bank unveils an overhaul. The embattled Swiss lender wants to draw a line under a string of scandals and legal actions in a shake-up that would likely see it pare back a volatile investment bank in London and New York to focus on banking for the rich in Switzerland. The restructuring is being closely watched by Swiss regulator Finma, which is in regular contact with the bank, said a second person familiar with the matter, highlighting the sensitivity of the revamp. But with just days to go to the Oct. 27 announcement, it remains unclear what businesses can be sold and for what price - critical pieces in a jigsaw that will determine how much the bank may have to ask of shareholders. Analysts have said the company might need as much as 9 billion Swiss francs ($9 billion) as part of a reorganization, some of which may have to come from investors and some from the sale of assets. Management intends to sell businesses, such as securitised products, from its investment bank, the first person said, adding, however, that negotiations will likely take until the last minute before the revamp is announced. The bank recently launched a process that could see its U.S. asset management arm sold, another source recently told Reuters, with initial expressions of interest due at the end of this week. However, there was no guarantee of a sale. Credit Suisse is also considering spinning off part of its advisory and investment banking business, which could bring in outside investors and be named First Boston, Bloomberg has reported. If such deals do not materialize or fall short of expectations, Credit Suisse will go for a capital increase, said that person. The bank declined to comment, ahead of its official announcement.