Bank of American and Credit Suisei are teaming up for the largest-ever international merger in the banking industry, which includes an $2 billion takeover of the Swiss bank.
The deal, which is subject to regulatory approval, would be the first merger of the two banks in over two decades.
“This merger of Bank of Americas and CreditSuisse will result in the acquisition of the largest bank in the world,” said J.P. Morgan Chase & Co. chairman and CEO Jamie Dimon.
Credit Susei is headquartered in London, but also has offices in Switzerland, Hong Kong, and New York.
It’s also the world’s largest insurance company and one of the worlds largest reinsurers.
In addition to the bank, Credit Suese will also acquire reinsurance business BNY Mellon.
“CMS is a world leader in risk management, which has helped ensure the safety and soundness of our financial system for more than 150 years,” said David M. Fritsch, president and chief executive officer of the Credit Suiser group.
“In addition to its core business, we will be bringing an unmatched set of global experience and knowledge to our new partnership.”
Credit Suises largest customer is Wells Fargo, which currently has a $1.7 billion stake in the bank.
CreditSuisei also has about 50 million customers in the U.S. and Europe, with a total of $7.3 billion in customer deposits.
Its U.K. branch, meanwhile, serves about 1.2 million customers.
In the U: the bank will also buy the insurance assets of Wells Fargo for $3.4 billion, and the insurance and reinsurance assets of CitiGroup for $1 billion.
In Europe: the company will purchase the reinsurance and insurance assets in its European operations for $2 million, while the reinsurers’ business in the region will be transferred to Credit Suite.
In Asia: the deal will result the sale of the reinsurer assets of Banco Santander, the largest lender in Thailand, for $4.3 million.
As of June 30, the combined company had $18.3 trillion in assets, according to CreditSuite.
Bank of America, the parent company of the major financial services company, is also involved in the deal, according the company.