The non-US corporate employee financial services business of UBS Wealth Management is to be sold to Montagu Private Equity.

The corporate employee financial services business of UBS
Wealth Management is to be sold to Montagu Private Equity, UBS announced today in
a deal to further streamline the Swiss bank’s operations.

Terms of the deal, expected to be completed next year, were
not disclosed in a statement issued by UBS.

The transaction does not affect UBS’s US-based Equity Plan
Advisory Services business, it said.

CEFS International provides administrative services for
employee equity plans to around 100 corporate clients in Europe and Asia.

“The agreement represents another step in UBS's effort to
reduce the complexity of its operations,” UBS said.

CEFS International will be legally separated from UBS and
transferred into its own legal entity. UBS said it expects the “vast majority”
of CEFS International employees to transfer to the buyer.

“UBS’s US-based Equity Plan Advisory Services (EPAS)
business, remains an integral part of UBS Wealth Management Americas' strategy
and is unaffected by this transaction. EPAS provides equity compensation
services to US-domiciled, multinational corporate clients and will continue to
actively support and pursue current and prospective clients,” it added.