HSBC Holdings Regulatory News (HSBA)

26 Jul 2006 08:25

HSBC Holdings PLC26 July 2006 HSBC TO ACQUIRE WESTPAC SUB-CUSTODY BUSINESS IN AUSTRALIA AND NEW ZEALAND The Hongkong and Shanghai Banking Corporation Limited has entered into anagreement with Westpac to acquire its sub-custody business in Australia and NewZealand. The consideration will be up to A$150 million (approximately US$112.5million) subject to the business meeting certain performance standards over asix month transition period. The acquisition is expected to be completed by 31 August 2006. Completion of thetransaction is subject to obtaining the necessary regulatory approval. HSBC is a global market leader in the provision of sub-custody services,operating in 37 markets in Asia-Pacific, the Middle East, Europe and LatinAmerica. The HSBC Group provides securities services to global custodians, fundmanagers, broker dealers and other financial institutions worldwide and isresponsible for servicing client sub-custody assets of over US$1 trillion. Nick Bryan, Head of HSBC Securities Services in Asia-Pacific, said: "There isestablished demand among institutional clients for regional securities custodyservices. The addition of Westpac's sub-custody business to our existingpresence in Australasia means that we will match the market leading position wealready hold in the rest of the Asia-Pacific region. Many of Westpac's clientsalready use our sub-custody services in other markets and the acquisition willposition us as a major provider in Australasia. "This acquisition also supports HSBC's strategy in Australia and New Zealand -making full use of the Group's strengths and participating in marketopportunities where we have a strong competitive advantage. The acquisition isstrategically important, making the Australasian market the third largest byassets among HSBC's sub-custody businesses in the Asia-Pacific region." Notes to editors: 1. The Hongkong and Shanghai Banking Corporation LimitedThe Hongkong and Shanghai Banking Corporation Limited is the founding and aprincipal member of the HSBC Group which, with over 9,500 offices in 76countries and territories and assets of US$1,502 billion at 31 December 2005, isone of the world's largest banking and financial services organisations. Further information can be found at www.hsbc.com.hk 2. HSBC in AustraliaIn Australia, the HSBC Group offers an extensive range of financial servicesthrough a network of 32 branches and offices. These services include personaland commercial financial services, trade finance, treasury and financialmarkets, financial planning and securities custody. Principal HSBC Group membersoperating in Australia include HSBC Bank Australia Limited (ABN 48006434162),HSBC Precious Metals (Australia) Limited (ABN 98 001 930 392) and HSBC Bank plc(ABN 98067329015). HSBC is marketed worldwide as 'the world's local bank'. Further information can be found at www.hsbc.com.au 3. HSBC in New ZealandIn New Zealand, the HSBC Group offers an extensive range of financial servicesthrough a network of eight branches and offices. These services include personaland commercial financial services, trade finance, treasury and financialmarkets, corporate banking, investment advisory and securities custody. Theprincipal HSBC Group member in New Zealand is The Hongkong and Shanghai BankingCorporation Limited. Further information can be found at www.hsbc.co.nz 4. WestpacWestpac provides a full range of consumer, business and corporate banking andwealth management services. It is the fourth largest Australian bank and isranked in the top 10 publicly listed companies in Australia by marketcapitalisation. Westpac has operated as a sub-custodian in the Australian andNew Zealand markets for over 60 years. Further information can be found at www.westpac.com.au This information is provided by RNS The company news service from the London Stock Exchange