HSBC has obtained approval from the Financial Supervisory Commission (FSC) in Taiwan to set up a local subsidiary. Local incorporation will enhance HSBC’s presence in Taiwan, supporting the growth strategy for one of the key facets of the group’s greater China platform.
Local incorporation will add to HSBC’s continued expansion of its Taiwan business over the past few years. In March 2008, HSBC acquired the business and operations of The Chinese Bank in Taiwan, which gave HSBC an additional 39 branch licences.
In September 2007, HSBC Life (International) in Taiwan was established as an insurance manufacturing unit to support the bank’s wealth and protection propositions for its personal and commercial customers. In January 2007, the group acquired Chailease Credit Services, to expand its trade financing capabilities.
The new entity, HSBC Bank (Taiwan), will be headquartered in Taipei and will be a subsidiary of The Hongkong and Shanghai Banking Corporation Limited, the founding and a principal member of the HSBC Group.
Vincent Cheng, chairman of HSBC Asia Pacific, said: “HSBC has a clear, stated strategy to focus on emerging markets. This is supported by our recent announcement to relocate the group CEO’s principal office to Hong Kong and our local incorporation in Vietnam and mainland China. Being able to locally incorporate in Taiwan would further enhance HSBC’s Greater China platform, within which our Taiwan business is a very important component.”
Nicholas Winsor, president and CEO of HSBC in Taiwan, said: “The HSBC Group has long viewed Taiwan as an exciting market, with substantial opportunities for growth. Local incorporation will give us a platform to enhance our direct participation in Taiwan’s financial market. We aim to start operating through the new entity in the first half of 2010 and will actively work with the authorities to complete the necessary business registration activities.”
