UBS Investment Portfolio: Cevian Capital's Exceptional Strategy and Projections for Growth in Value

2023-12-23 10:06:28

Published on December 23, 2023 at 11:06. / Modified on December 23, 2023 at 11:07.

UBS might be an exception in Cevian Capital’s investment portfolio, or else the Swedish fund is moving forward with velvet paws. Having become a major shareholder of the bank through an investment of 1.14 billion francs revealed on Tuesday, Cevian does not intend to take a seat on the board of directors of UBS. Better yet, Lars Förberg, the co-founder of the investment company, praised the work of UBS’s management and board of directors in integrating Credit Suisse. Usually, Cevian seeks to influence the companies in which it invests from the inside, by joining the board of directors. By acting as an operational shareholder activist.

Since the 1990s, Cevian has applied a strategy that was quite rare at the time: using recipes from private equity in listed companies deemed undervalued. Reorganize, restructure, open new markets, sell secondary divisions, etc. Having become one of the ten largest shareholders of UBS with 1.3% of the capital, Cevian Capital now forecasts that the bank should double in value on the stock market within three to five years.