What’s new: A wholly owned subsidiary of HSBC Holdings PLC has completed its acquisition of Citigroup Inc.’s retail wealth management business on the Chinese mainland, the London-headquartered bank announced Tuesday.
The deal has brought customers, deposits and investment assets from 11 mainland cities into the wealth and personal banking operations of HSBC Bank (China) Co. Ltd., according to the announcement. HSBC has also taken on more than 300 former Citigroup employees as part of the acquisition.
“HSBC’s ambition is to be the leading international wealth manager for mass affluent and high-net-worth individuals in mainland China,” said Nuno Matos, CEO for wealth and personal banking.
As of the end of 2023, HSBC Bank (China) had 616.7 billion yuan ($87.1 billion) in total assets, up 3.3% year-on-year, the lender’s annual report shows.
The background: HSBC’s acquisition of Citigroup’s mainland retail wealth management portfolio was announced in October, after the U.S. bank said in December 2022 that it was winding down its consumer banking business in China.
Citigroup first revealed its intent to exit its China consumer banking business in April 2021, part of a global scaling back of its retail operations in 14 markets.
Contact reporter Zhang Yukun (yukunzhang@caixin.com) and editor Jonathan Breen (jonathanbreen@caixin.com)
