HSBC to exit M&A and capital markets businesses in UK, Europe and the U.S.
HSBC is preparing to wind down its M&A and equity capital markets businesses in Europe, the U.K. and the U.S. amid a broader overhaul of its investment banking operations.
«As part of our ongoing efforts to simplify HSBC and increase leadership in our areas of strength, we are finalising a review of our Investment Banking business,» a spokesperson said Tuesday. «We will retain more focused M&A and equity capital markets capabilities in Asia and the Middle East and will begin to wind-down our M&A and equity capital markets activities in the UK, Europe, and the US, subject to local legal requirements.»
London-listed shares of HSBC were down 0.36% at 10:41 a.m. London time.
The news comes as HSBC CEO Georges Elhedery, who stepped into the leadership role last year, embarks the lender on a broader overhaul targeting cost-cutting efforts.
Back in October, the bank unveiled plans for a new geographic setup and set out to consolidate its operations into four business units, divided between an «Eastern markets» branch — reuniting Asia-Pacific and the Middle East — and a «Western markets» division, comprising the non-ringed-fenced U.K. bank, the continental European business and the Americas.
This breaking news story is being updated.
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