HSBC has agreed to sell its Singapore life and insurance business to Allianz for 2.7 billion Singapore dollars (\u00a31.6 billion) amid an ongoing overhaul by chief executive Georges Elhedery. <\/p>\n
Under the deal, HSBC and Allianz will form a 15-year distribution agreement that will see HSBC continue to sell insurance products to its customers in Singapore. <\/p>\n
HSBC said the sale will deliver a pre-tax gain of around 1.8 billion US dollars (\u00a31.4 billion) and boost its balance sheet strength, with a 200 million dollar (\u00a3150.1 million) initial cash lump sum also payable as part of the distribution agreement. <\/p>\n
It expects the deal to complete in the first half of next year. <\/p>\n
The sale follows a strategic review of HSBC Life in Singapore, but London-listed HSBC stressed it remains “committed to Singapore as an international wealth and wholesale banking hub”. <\/p>\n
“Singapore is crucial to HSBC’s strategy and is a key focus of investment and growth for the group,” HSBC said. <\/p>\n
The move is the latest made by boss Mr Elhedery, who has been restructuring the lender over the past two years. <\/p>\n
He has already closed parts of HSBC’s investment banking business across the UK, Europe and the US and exited some markets. <\/p>\n
He continues to slash costs across the group and said in May the group was set to meet a target for 1.5 billion dollars (\u00a31.1 billion) in annual savings by June, which is six months earlier than planned. <\/p>\n
HSBC said on Friday: “The transaction forms part of the ongoing simplification of the HSBC Group as it focuses on increasing leadership and market share in the areas where it has a clear competitive advantage and the greatest opportunities to grow and support its clients.” <\/p>\n","protected":false},"excerpt":{"rendered":"HSBC has agreed to sell its Singapore life and insurance business to Allianz for 2.7 billion Singapore dollars…\n","protected":false},"author":2,"featured_media":89850,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[20667],"tags":[12170,38613,20688,9881,30249,9783,38633],"class_list":["post-89849","post","type-post","status-publish","format-standard","has-post-thumbnail","category-hsbc","tag-allianz","tag-distribution-agreement","tag-georges-elhedery","tag-hsbc","tag-insurance-business","tag-singapore","tag-singapore-dollars"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@UnitedKingdom\/116976915771959755","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/posts\/89849","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/comments?post=89849"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/posts\/89849\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/media\/89850"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/media?parent=89849"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/categories?post=89849"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/tags?post=89849"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}