ZURICH, July 23 (Reuters) - UBS has agreed to

sell a former insurance-linked investment arm of Credit Suisse

to the management of the business, the Swiss bank said on

Tuesday.

UBS bought its longtime rival Credit Suisse in 2023 after

the bank collapsed following a string of financial setbacks. UBS

has since then been working to integrate Credit Suisse into its

operations while selling off parts of the business.

"UBS Group AG has today signed a definitive agreement to

sell its 100% holding in Credit Suisse Insurance Linked

Strategies Ltd ("CSILS") to the CSILS management team led by

Niklaus Hilti," the bank said in a statement.

UBS did not disclose the price of the transaction.

The deal is expected to close in the second half of the

year, subject to regulatory approvals. Upon closing, CSILS will

operate independently of UBS under a new name and continue to

manage the funds and single investor fund mandates, UBS said.

"UBS and the CSILS team will work together to ensure a

smooth and successful transition for investors," UBS added.

(Writing by Dave Graham, Editing by Louise Heavens)