London-based HSBC’s Asia pivot continues with the latest exit from its South Africa business.
HSBC has reached an agreement to transfer the business of its South Africa branch to FirstRand Bank (FRB), according to a statement. The deal includes the transfer of the branch’s clients, banking assets, liabilities and employees.
The transaction is expected to be completed in the fourth quarter of 2025, subject to regulatory and governmental approvals. No financial details about the deal were provided.
The British lender's current international wholesale banking clients will continue to have connectivity through HSBC channels for their accounts in South Africa once they have transferred to FRB.
Absa Agreement
In addition, HSBC has formed an agreement with Absa Bank and Absa Capital Securities to provide the bank's global equities and securities finance clients with continued access to the South African market.
«Following a strategic review, we are pleased to have signed agreements with FRB and Absa,» said Colin Bell, CEO, HSBC Bank plc and HSBC Europe. «They both have extensive networks and are leading corporate and investment banks in the region. They will continue to provide clients with a broad offering in terms of service and products.»
HSBC has been offloading businesses in various markets worldwide to sharpen its focus on expansion in Asia in recent years. This included the sale of all or parts of its operations in Canada, France and Greece.
