UBS investors to consider new capital hike -report

ZURICH, March 23 (Reuters) - UBS (UBSN.VX: Quote, Profile, Research) shareholders will consider a proposal for a fresh capital hike of 10 billion Swiss francs ($9.88 billion) next month, according to a Swiss newspaper report on Sunday.

The SonntagsBlick newspaper quoted Herbert Braendli, head of Swiss pension fund Profond, as saying UBS had confirmed that a Profond proposal to raise 10 billion francs would be on the agenda at the bank's general meeting on April 23.

"UBS has confirmed this to us," Braendli told SonntagsBlick. "UBS wants to put through a capital injection."

The bank was not immediately available to comment on the report.

UBS is the European bank hardest hit by the credit crisis and booked $18 billion in subprime writedowns last year.

Analysts expect it to write down an additional 10-20 billion francs in 2008 and some expect it to need to raise more money to shore up its capital.

The bank has already raised 13 billion francs through a convertible bond sold to investors in Singapore and Saudi Arabia and aims to raise around 6 billion francs more through various measures including issuing a stock dividend. (Reporting by Sam Cage; editing by Rory Channing)