UBS said it will use some of the shares for the takeover rather than cancelling them as originally planned after getting approval from the Swiss Takeover Board.

Switzerland’s biggest bank agreed in March to buy rival Credit Suisse CSGN.S for 3 billion Swiss francs in stock and agreed to assume up to 5 billion francs in losses, in a merger engineered by Swiss authorities to avoid more market-shaking turmoil in global banking.

UBS on Tuesday said it had decided against issuing new shares for the deal, but would instead use shares that had already been issued.

Under the deal, one UBS share will be exchanged for 22.48 shares in Credit Suisse, requiring a maximum of 178 million UBS shares to be used.

So far under the buyback - which was launched in March 2022 and will run until 2024 - 298.5 million shares have been bought back, equivalent to 8.47% of its stock, UBS said.