HSBC targets larger shareholding in BoComm

HSBC targets larger shareholding in BoComm
HSBC targets larger shareholding in BoComm

03/09/2009, 07:03     [China Knowledge Press]    


Mar. 9, 2009 (China Knowledge) - HSBC Holdings, the largest bank by market value in Europe, will raise its holding in China's Bank of Communications (BoComm), the fifth largest bank in China, if possible, said Vincent Cheng, HSBC Executive Director and Chairman for Asia-Pacific, on Friday. Cheng said HSBC will increase its stake in BoComm to 19.9% from the current 19.01% at proper time, adding that European lender will not cut its holding in the Chinese bank. Cheng noted that HSBC's shrinking businesses in the U.S. leave room for the bank to explore opportunities in the Asia-Pacific region. A foreign bank is not allowed to hold more than a 20% stake in Chinese bank, according to the current banking regulations. H-shares of HSBC edged down 2.79% to HK$43.55 in the mooring session on Friday.