(Bloomberg) -- UBS Group AG appointed Ulrich Koerner to its top management body, giving the chief executive officer of Credit Suisse Group AG a key role in overseeing the complex combination of the two firms.

Koerner, a veteran of both lenders who unsuccessfully tried to stabilize Credit Suisse over the past nine months, will oversee the latter’s operating businesses as UBS plans to integrate them over time, according to a statement on Tuesday. 

The announcement was part of a broader management reshuffle that also saw Todd Tuckner, a long-time UBS banker, take over as chief financial officer from Sarah Youngwood, who only joined the bank last year.

The appointments are part of a push by Sergio Ermotti, who was brought back as UBS CEO to oversee the government-brokered rescue of the smaller rival, to install allies with deep knowledge of the firms. Urgency to complete the historic task of integrating the giant businesses has been heightened by Credit Suisse’s warning that the current limbo state has already caused a spike in employee turnover. 

Still, retaining Koerner, who spent over a decade at both banks, is a surprising choice. He had rejoined Credit Suisse in 2021 after losing out in a management reshuffle at UBS, and was named CEO in July last year. But his last-ditch effort to stabilize the bank with a strategic revamp, after years of scandals and losses under his predecessors, failed when broader banking-industry turmoil early this year helped trigger the crisis that saw the forced takeover in March.

Koerner will now be in charge of ensuring Credit Suisse’s operational continuity when he joins UBS’s executive board. UBS said it’s planning a “phased approach” for the integration and will initially manage the two separate parent companies, UBS AG and Credit Suisse AG. Each will continue to have its own subsidiaries and branches, serve its clients and deal with counterparties, though UBS will put new policies in place to ensure it has effective oversight.

Tuckner joined UBS in 2004 and is currently CFO and head of business performance and risk management for the wealth management unit. Youngwood was only brought in last year by former UBS CEO Ralph Hamers after a career at JPMorgan Chase & Co., where she had been CFO for the consumer and community-banking unit for five years. She will leave UBS after the deal closes.

The appoinments are “steps in the right direction, ensuring operational continuity of Credit Suisse as this complex integration is executed,” analysts Kian Abouhossein and Amit Ranjan at JPMorgan wrote in a note. “UBS is relying on its experienced hands for key positions.”

UBS swung between gains and losses, falling 0.3% at 11:47 a.m. in Zurich trading after rising as much as 0.9% earlier.

The composition of the new team raises questions about existing Credit Suisse executives and whether they will be moving on. Absent from Tuesday’s announcement was any mention of Credit Suisse’s finance chief Dixit Joshi, Chief Operating Officer Francesca McDonagh and its head of wealth management, Francesco De Ferrari. 

UBS reiterated it will consider “all options” for Credit Suisse’s Swiss business, with an announcement likely in the coming months. Andre Helfenstein, who runs the unit, is likely to stay on, the Financial Times has reported.

UBS’s new appointments:

  • Koerner to join UBS Group Executive Board
  • Tuckner to become CFO
  • Beatriz Martin Jimenez to head non-core and legacy businesses
  • Michelle Bereaux named Group Integration Officer
  • Stefan Seiler named Group Head Human Resources and Corporate Services

After the 3 billion-franc ($3.4 billion) deal closes, the combined firm will operate with five business divisions, seven functions and four regions, as well as Credit Suisse AG, according to Tuesday’s statement. Iqbal Khan will continue to run the wealth business, Rob Karofsky the investment bank, and Suni Harford asset management. Sabine Keller-Busse will remain head of personal and corporate banking.

The historic fusion of Switzerland’s two global banks has prompted Ermotti to look at the leadership ranks of UBS given the scale of the task ahead. He has reached out to a select number of high-profile former UBS bankers to gauge their interest, including Tom Naratil, who had held a number of senior positions during four decades at the firm, people familiar with the matter have said.

(Updates with analysts’ comment in eighth paragraph.)

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