HSBC owns 19.9% of Ping An Insurance (Group) Company of China (Ping An Group), of which Shenzhen Commercial Bank Company (SZBC) is an 89.36%-owned subsidiary. The transaction is part of Ping An Group’s consolidation of its banking businesses within SZCB.
Vincent Cheng, chairman of HSBC, said: We will continue to invest in and expand our operations in China as well as strengthening our relations with our strategic partners comprising Ping An Group, Bank of Communications and Bank of Shanghai.
Mr Cheng added: These strategic investments are a core component of our growth strategy in China. Additionally, we are in the process of locally incorporating our China business to allow us to further expand our network and range of services.
Ping An Bank, previously Fujian Asia Bank, was acquired by HSBC and China Ping An Trust & Investment, a subsidiary of Ping An Group, in 2003. The bank’s sale is subject to obtaining the necessary approvals and the agreement of final terms.
