Swiss bank Credit Suisse Group AG will merge its oil and gas banking group with the global infrastructure, utilities and renewables team as part of a broader restructuring announced earlier on July 30, according to a memo seen by Reuters.
Credit Suisse has been expanding its energy coverage for some time now. While confirming the memo, a company spokesman said the latest move will help the bank bridge the gap between its different sub-sectors in energy.
The changes also come at a time when a growing number of traditional oil and gas companies like European oil majors BP Plc and Royal Dutch Shell Plc are trying to transition towards renewables and other 'cleaner' sources of energy.
"The new group will be optimally positioned to work with our clients seamlessly across the entire spectrum of energy, utilities, renewables and infrastructure while allowing us to better capitalize on opportunities for the firm in areas such as the ongoing energy transition," the memo said.
The new 'energy and infrastructure' group will be led by company veteran Tom Greenberg, who co-headed Credit Suisse's global oil and gas business, and Jonathon Kaufman, who joined the bank from rival Deutsche Bank AG in 2014 and was recently appointed as head of the global infrastructure, utilities and renewables group.
Credit Suisse's new CEO, Thomas Gottstein, earlier on July 30 unveiled a large reorganization by merging global markets into the investment banking team, a shift away from the structure introduced by previous CEO Tidjane Thiam.
U.S. energy firms cut the number of oil and gas rigs over the past week to a record low for a 14th week even as higher oil prices prompt some producers to start drilling again.
The move comes as the November presidential election looms and the Trump administration aims to complete several more deregulatory actions on the spring Unifed Agenda, a list of its policy priorities.
The U.S. oil and gas rig count fell by four to an all-time low of 247 in the week to Aug. 7, according to data from energy services firm Baker Hughes Co.