ZURICH Aug 19 Credit Suisse has
confirmed it arranged securities on behalf of crisis-hit
Portuguese lender Banco Espirito Santo SA (BES), but
said it had not sold those securities or advised any clients or
affiliates of BES to buy them.
BES was rescued by the state earlier this month after
posting huge losses from exposure to the crumbling business
empire of its founding Espirito Santo family.
The Wall Street Journal had reported that Credit Suisse
helped assemble billions of dollars in securities that were
issued by offshore investment vehicles of BES and then sold to
the Portuguese bank's retail customers.
The Zurich-based lender said on Tuesday it had acted as an
issuer of notes for three special-purpose vehicles (SPVs) set up
by BES starting in 2001. One of these SPVs issued shares for net
proceeds of around 202.5 million euros ($270.3 million) in
January 2012 and February 2014.
But CS said it had played no role in selling or advising on
the sale of these notes.
"Credit Suisse has no visibility as to any onward
distribution by the Banco Espirito Santo branches or
subsidiaries," it said in a statement.
Credit Suisse also said it had no market or credit risk
exposure to the securities.
(1 US dollar = 0.7491 euro)
(Reporting by Joshua Franklin and Oliver Hirt; Editing by David