The major bank Credit Suisse is being bought out by its major Swiss rival, UBS - in a deal aiming to head off more market-shaking turmoil in global banking.
UBS will buy Credit Suisse for $3.25 billion dollars, more than NZ$5 billion.
The Swiss central bank will backstop the deal with a US$108 billion credit line.
The Swiss President Alain Berset says the assistance will last until the takeover is complete.
The 167-year-old bank has been facing a crisis after shares fell sharply in recent days, following the collapse of America's Silicon Valley Bank, nine days ago.
Bloomberg Business senior editor John Authers spoke to Corin Dann shortly before Swiss authorities confirmed the news.
