Credit Suisse and Glencore International today announced
a strategic alliance to build a new derivatives and structured
products trading business in the oil and petroleum products markets.
The alliance will combine the financial strength and expertise of
Credit Suisse with Glencore International's top-tier position as one
of the world's largest non-integrated oil suppliers. The new business
will provide risk management and investment products to Credit Suisse
and Glencore customers globally.
Under the strategic alliance, the companies have agreed for the business to operate from the premises of a Glencore subsidiary in Stamford, Connecticut staffed by a sales and trading team from Credit Suisse. The team will include marketers, structurers as well as oil derivatives traders. Plans call for expanding the business to operate from facilities of Glencore's subsidiaries in London and Singapore in the future. No other terms of the agreement were disclosed.
"The Alliance is an important strategic step forward in growing the commodities business at Credit Suisse. We have recently established a power and natural gas trading business. With Glencore as our partner, we will be well positioned to succeed in the petroleum commodities business and provide our clients with customized, value- enhancing solutions," said Jim Healy, Head of Fixed Income within the Investment Banking division of Credit Suisse.
"This is an excellent opportunity for Glencore to further leverage its relationships by offering creative risk management solutions. Credit Suisse's reputation for innovation along with its strong credit standing will allow us to expand our worldwide energy products platform," said Frank Destribats, Chief Executive of Glencore International's Oil Division.
Credit Suisse created the Energy Trading and Marketing Group in October 2004 with an initial focus on the power and natural gas trading business. Through the Alliance with Glencore, Credit Suisse is expanding into petroleum derivatives, covering a broad range of clients from financial funds to owners and suppliers of petroleum products.
Founded in 1974, Glencore is one of the world's largest suppliers of a wide range of commodities and raw materials to industrial consumers. Energy products and commodities are marketed and coordinated primarily in Glencore's headquarters in Baar, Switzerland and through the offices of its subsidiaries in London, Stamford and Singapore.
About Credit Suisse
As one of the world's leading banks, Credit Suisse provides its clients with investment banking, private banking and asset management services worldwide. Credit Suisse offers advisory services, comprehensive solutions and innovative products to companies, institutional clients and high-net-worth private clients globally, as well as retail clients in Switzerland. Credit Suisse is active in over 50 countries and employs approximately 40,000 people. Credit Suisse's parent company, Credit Suisse Group, is a leading global financial services company headquartered in Zurich. Credit Suisse Group's registered shares (SWX: CSGN) are listed in Switzerland and, in the form of American Depositary Shares (NYSE: CSR), in New York. Further information about Credit Suisse can be found at www.credit-suisse.com
In its Investment Banking business, Credit Suisse offers securities products and financial advisory services to users and suppliers of capital around the world. Operating in 69 locations across 33 countries, Credit Suisse is active across the full spectrum of financial services products including debt and equity underwriting, sales and trading, mergers and acquisitions, investment research, and correspondent and prime brokerage services.
About Glencore International
Glencore is a leading privately held, diversified natural resources company with worldwide activities in the smelting, refining, mining, processing, purchasing, selling and marketing of metals and minerals, energy products and agricultural products. Glencore operates on a global scale, marketing physical commodities produced in its industrial assets or purchased from third parties to industrial consumers, such as those in the automotive, steel, power generation, oil and food processing industries. Glencore also provides financing, logistics and other services to producers and consumers of commodities. These activities are supported by substantial strategic industrial assets relating to Glencore's core commodities.
Under the strategic alliance, the companies have agreed for the business to operate from the premises of a Glencore subsidiary in Stamford, Connecticut staffed by a sales and trading team from Credit Suisse. The team will include marketers, structurers as well as oil derivatives traders. Plans call for expanding the business to operate from facilities of Glencore's subsidiaries in London and Singapore in the future. No other terms of the agreement were disclosed.
"The Alliance is an important strategic step forward in growing the commodities business at Credit Suisse. We have recently established a power and natural gas trading business. With Glencore as our partner, we will be well positioned to succeed in the petroleum commodities business and provide our clients with customized, value- enhancing solutions," said Jim Healy, Head of Fixed Income within the Investment Banking division of Credit Suisse.
"This is an excellent opportunity for Glencore to further leverage its relationships by offering creative risk management solutions. Credit Suisse's reputation for innovation along with its strong credit standing will allow us to expand our worldwide energy products platform," said Frank Destribats, Chief Executive of Glencore International's Oil Division.
Credit Suisse created the Energy Trading and Marketing Group in October 2004 with an initial focus on the power and natural gas trading business. Through the Alliance with Glencore, Credit Suisse is expanding into petroleum derivatives, covering a broad range of clients from financial funds to owners and suppliers of petroleum products.
Founded in 1974, Glencore is one of the world's largest suppliers of a wide range of commodities and raw materials to industrial consumers. Energy products and commodities are marketed and coordinated primarily in Glencore's headquarters in Baar, Switzerland and through the offices of its subsidiaries in London, Stamford and Singapore.
About Credit Suisse
As one of the world's leading banks, Credit Suisse provides its clients with investment banking, private banking and asset management services worldwide. Credit Suisse offers advisory services, comprehensive solutions and innovative products to companies, institutional clients and high-net-worth private clients globally, as well as retail clients in Switzerland. Credit Suisse is active in over 50 countries and employs approximately 40,000 people. Credit Suisse's parent company, Credit Suisse Group, is a leading global financial services company headquartered in Zurich. Credit Suisse Group's registered shares (SWX: CSGN) are listed in Switzerland and, in the form of American Depositary Shares (NYSE: CSR), in New York. Further information about Credit Suisse can be found at www.credit-suisse.com
In its Investment Banking business, Credit Suisse offers securities products and financial advisory services to users and suppliers of capital around the world. Operating in 69 locations across 33 countries, Credit Suisse is active across the full spectrum of financial services products including debt and equity underwriting, sales and trading, mergers and acquisitions, investment research, and correspondent and prime brokerage services.
About Glencore International
Glencore is a leading privately held, diversified natural resources company with worldwide activities in the smelting, refining, mining, processing, purchasing, selling and marketing of metals and minerals, energy products and agricultural products. Glencore operates on a global scale, marketing physical commodities produced in its industrial assets or purchased from third parties to industrial consumers, such as those in the automotive, steel, power generation, oil and food processing industries. Glencore also provides financing, logistics and other services to producers and consumers of commodities. These activities are supported by substantial strategic industrial assets relating to Glencore's core commodities.
© 2006 Business Wire
