Bank continues global restructuring under new CEO
HSBC Holdings is evaluating investor interest in a potential sale of Australian home loans valued at around $13 billion as part of its ongoing global restructuring, Bloomberg has reported.
Sources familiar with the matter, who requested anonymity due to the private nature of the discussions, said the UK-based lender is in talks regarding the transaction. However, details could change based on investor feedback, and HSBC may ultimately decide against proceeding with a sale.
The move aligns with HSBC’s broader strategy to streamline its operations worldwide. In January, Bloomberg also reported that the bank was reviewing options for its Australian consumer banking arm, including a possible sale. However, HSBC is expected to retain its commercial banking division in the country, allowing it to continue serving corporate clients with international operations.
A spokesperson for HSBC has yet to comment on the matter.
HSBC Holdings is assessing investor interest in a portfolio of Australian mortgages as the lender pushes ahead with a global overhaul of its businesses, according to people familiar with the matter. https://t.co/50dlYdzxaS
— Bloomberg (@business) March 17, 2025
Since taking over as HSBC chief executive in September, Georges Elhedery has been implementing a cost-cutting strategy aimed at reducing expenses by US$3 billion, with the bank intending to reinvest about half of the savings into key growth areas. The restructuring also includes reducing management layers and scaling back certain operations outside of its core markets.
As part of these efforts, HSBC is also selling a French mortgage portfolio valued at approximately US$7 billion, according to its full-year earnings report released in February. The bank has reportedly offered to provide financing for the deal.
The lender has been shifting its focus toward Asia and the Middle East, where it sees stronger growth potential. In a significant strategic move, HSBC recently confirmed the closure of its mergers and acquisitions advisory and equity capital markets businesses in the UK, Europe, and the Americas. The decision, which will affect jobs in London and New York, reflects the bank’s struggle to compete in these markets and its decision to prioritise regions where it has a competitive advantage.
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