Ad hoc announcement pursuant to Art. 53 LR

LLB Group invests in Swiss market

Vaduz, 2 May 2023. The LLB Group and Bank Linth have jointly defined the next strategic steps for the Swiss market. Building on Bank Linth's strengths and the expertise available in the Group, private banking, corporate client business and business with external asset managers will be expanded. Private client business continues to be a central pillar. The organisation will be re-oriented accordingly as of 1 July 2023. In future, the LLB Group will operate under the common brand LLB.

The LLB Group started the new strategy period in January 2022. The ACT-26 strategy includes the three core elements of growth, efficiency and sustainability and represents the continuation of successful growth as well as technological and sustainable transformation. The goal of the strategy is to accelerate previous growth further while, at the same time – and through digitalisation – making the LLB Group more customer-oriented, efficient and sustainable. In doing so, it adopts a clear, dual positioning on the market: As a universal bank, the LLB Group is number one in Liechtenstein and the region. At the same time, it is a safe, sustainable international private bank. 

LLB has also reaffirmed the importance of Bank Linth as a key pillar within the Group in connection with the ACT-26 strategy. It is the aim of the strategy to consistently exploit and further expand existing synergy and growth potential. The LLB Group sees further growth opportunities for the Swiss market.

Positioning in Switzerland

In Switzerland, the LLB Group builds on Bank Linth's strengths – regionality and client proximity – and utilises the expertise available within the Group. The company is pursuing a forward strategy with a focus on growth opportunities and additional client advisors in private banking, corporate client business and business with external asset managers.

For private banking clients, the LLB Group is the private bank with solid investment expertise. To this end, the client proximity, stability, down-to-earthness and responsiveness of Bank Linth are combined with the broad, internationally oriented investment expertise of the LLB Group.

In the corporate client business, the focus is on medium-sized SMEs in German-speaking Switzerland, which are serviced individually and personally. The LLB Group is already today a reliable partner for SMEs and is known for its fast and short decision-making processes.

For external asset managers (EAM), the LLB Group is a reliable, flexible banking partner with access to the European Economic Area. The focus is on medium-sized Swiss asset managers. The LLB Group is known for its high level of professionalism and stability, while at the same time delivering efficiency through modern digital interfaces. Clients can choose between the three booking locations Switzerland, Liechtenstein (EEA) and Austria (EU) – depending on the preference of their end clients.

Private client business continues to be a central pillar. Now to be called Direct Clients. In addition to personal client contact, the bank is also focusing on expanding its digital product range and a seamless omni-channel strategy.

Opening new locations in Zurich and St. Gallen

New locations are also planned to be opened in Zurich and St. Gallen as part of the strategic development. Both locations offer attractive opportunities for the Private Banking, Corporate Clients and EAM business segments and ideally complement the existing branch network in the Bank Linth market areas.

Organisational structure as of 1 July 2023

David Sarasin, CEO of Bank Linth, has decided to pursue a new career path after more than 20 years on the Board of Management of Bank Linth, ten of which as CEO. Together with Group Executive Management and the Board of Directors of Bank Linth, he was involved in the strategy for the Swiss market and explains his decision as follows: “I am proud to have helped Bank Linth to become a successful company with a strong foothold in the market. Bank Linth will remain an important pillar of the LLB Group in the future and, as part of the new strategy, can continue to grow beyond its current perimeter. As far as I am concerned, this is the right time to turn over a new leaf professionally and place the implementation of the strategy in new hands.” To ensure continuity and an orderly transition, David Sarasin will continue to oversee the strategic development until the end of the year. The Board of Directors of Bank Linth and Group Executive Management of LLB would like to thank David Sarasin for his commitment to Bank Linth and for ensuring continuity until the end of 2023.

David Sarasin has transformed Bank Linth into a modern retail bank and further strengthened the cooperation between the LLB Group and Bank Linth. Among other things, this is also reflected in Bank Linth's positive business results for 2022.

The existing organisation of Bank Linth will be adapted accordingly from 1 July 2023. The Board of Management will continue to have three members.

The CEO position now also includes market responsibility with a focus on the further development of the private banking and EAM business. The process of recruiting David Sarasin's successor has been initiated. 

Responsibility for the corporate and direct client business will pass to Manfred Pfammatter from 1 July 2023, subject to FINMA approval. He, in turn, will become a member of the Board of Management. Manfred Pfammatter has been with the LLB Group since 2013 and continues to be responsible for the Group's corporate client business. 

The function of CFO, who is responsible for Finance, Legal & Compliance, Risk Management and Credit Management, will continue to be performed by Martin Kaindl.

Integrated identity under the LLB brand

The ACT-26 corporate strategy and dual positioning will be reflected in a new image for the entire LLB Group. In future, the LLB Group will pursue a one-brand strategy – all companies, Liechtensteinische Landesbank AG, Bank Linth and Liechtensteinische Landesbank (Österreich) AG, will operate under the shared LLB brand. This will create a new, modern and strong brand and thus the perfect foundation for the planned growth. The company will announce details of the LLB Group's new brand identity in September.

In a strong position for further growth

With its diversified and robust business model, the LLB Group has a strong foundation on which to build. The LLB Group stands for security and stability with an excellent credit rating. It is one of the most stable banks in the world, with a Moody's deposit rating of Aa2. Combined with the clear, forward-looking strategy, it is in a strong position for further growth; the further development of Bank Linth is a central component of the ACT-26 strategy. After the complete takeover by the LLB Group and the delisting from the SIX Swiss Exchange, expanding Bank Linth's activities in the Swiss market is the next logical step. 

In the words of Gabriel Brenna, Group CEO: “Bank Linth enjoys a high level of trust among its clients. This is the ideal starting point for further growth beyond the current market area. Along with the new strategy for the Swiss market and the integration of the LLB Group's brand identity, the importance of Switzerland for the LLB Group is once again clearly underlined.”

The LLB Group will provide further background information at its media and analysts' breakfast on 3 May 2023, at 8.30 a.m. at Hotel Widder in Zurich.