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HSBC completes delayed sale of French retail business

Published 02/01/2024, 11:28
Updated 02/01/2024, 12:31
© Reuters.  HSBC completes delayed sale of French retail business
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Proactive Investors - HSBC Holdings PLC (LON:HSBA) has announced the sale of its French retail banking business several years after the deal was originally proposed.

My Money Group subsidiary Crédit Commercial de France has now acquired the business, HSBC said on Monday, with the deal having originally been floated in June 2021.

HSBC did not disclose the value of the deal, which was originally proposed at a nominal price of €1.

New terms were negotiated in June last year after regulatory capital concerns, with HSBC announcing approval had ultimately been gained on Monday.

“This represents an important milestone in our strategic vision for Europe," group chief executive Noel Quinn said.

“[We] will continue with the aim of becoming the leading international wholesale bank in Europe, complemented by a targeted wealth and private Banking business.”

HSBC chief financial officer Georges Elhedery had said in May that the bank could exit several countries in order to prioritise growth in Asia, where it generates the majority of its profit.

My Money Group added it would "have total assets surpassing €30 billion (£26 billion) euros and a robust solvency position" following the deal, alongside €10 billion in cash.

Shares in HSBC slipped 1% to 629.40p.

Read more on Proactive Investors UK

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