The Swiss government plans to change the country's laws to bypass a shareholder's vote on the deal, as Reuters-UBS Group AG offers to buy Credit Suisse for up to $1 billion, according to the Financial Times on Sunday.
The report said that the deal will be priced at a fraction of the closing price of Credit Suisse on Friday, because of the proposed all-share deal between Switzerland's two biggest banks.
The newspaper said an offer was made on Sunday morning with a price of 0.25 Swiss francs $0.27 a share to be paid in UBS stock. Credit Suisse's shares closed at 1.86 Swiss francs on Friday.
The report said that the deal would not be void if a credit default spread jumps by 100 basis points or more if it increases by 100 basis points or more.
Credit Suisse didn't immediately respond to Reuters' request for comment, while the Swiss government and the UBS Group did not immediately respond to the request for comment.
Two people with knowledge of the matter told Reuters on Saturday that the takeover of Credit Suisse could see the Swiss government offer a guarantee against the risks involved.