Deal will mean Hang Seng Bank’s shares are taken off local stock exchange as HSBC doubles down on Asian business
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HSBC is shelling out £10bn to take its Hong Kong subsidiary private, in a move it said was designed to take advantage of the financial hub’s role as a “super-connector” between China and global markets.
The deal will result in Hang Seng Bank’s shares being taken off the local stock exchange as London-headquartered HSBC doubles down on its Asian business and snaps up the 36.5% of shares it does not already own.
The deal is believed to be the largest bank acquisition in Hong Kong in more than a decade. It is a significant bet on Hong Kong and China, and comes amid ongoing criticism over Heng Seng’s exposure to China’s real estate downturn.
