HSBC to sell stake in Ping An Bank to a unit of Ping An group for 29.4 mln usd |
|
|
|
Published
:
Fri, 16 Feb 2007 04:18
|
HONG KONG (XFN-ASIA) - HSBC Holdings plc said it has agreed to sell its 27 pct stake in Ping An Bank Ltd for 29.4 mln usd to a unit of Ping An Insurance (Group) Co of China Ltd (Ping An group) to support the Chinese insurer's efforts to consolidate its banking business.HSBC, which owns 19.9 pct of Ping An Group, said in a statement that it is selling the stake to Shenzhen Commercial Bank Co Ltd (SZCB), which is 89.36 pct owned by the Ping An group.'The transaction is part of Ping An Group's consolidation of its banking businesses within the SZCB. HSBC is supporting its Chinese partner in this endeavor,' the bank said.The sale price is subject to a review of PIng An Bank's audited net asset value as of end-December. The deal is also subject to some approvals.Vincent Cheng, chairman of HSBC unit Hong Kong and Shanghai Banking Corp Ltd, said the bank will continue to invest in and expand its operations in China, while strengthening relations with strategic partners including the Ping An group.HSBC's other partners in China include Bank of Communications and Bank of Shanghai.'These strategic investments are a core component of our group strategy in China,' said Cheng, adding that the bank is in the process of locally incorporating its China business to allow it to further expand its network and services on the mainland.(1 usd = 7.8 hkd)leonora.walet@xfn.comlw/rc
|
|
|
|
Print this Story
China's Ping An Insurance to launch A-share offering in Feb - report 