HSBC resumes talks over RBS Asia assets

Published on Thursday 8 October 2009 21:28

HSBC has resumed talks with Royal Bank of Scotland over the latter's remaining retail and commercial units in Asia, it emerged yesterday.

HSBC declined to comment, but sources close to the situation said HSBC and several other banks have approached RBS and its advisers about the asset auction after exclusive negotiations with Standard Chartered expired.

RBS is selling its remaining retail and commercial banking divisions in China, India and Malaysia, which are thought to be worth around $200 million (124m).

Sources said the talks were still in the early stages since Standard Chartered's exclusivity only ended recently.

The assets up for sale were identified by RBS as non-core in February, prompting an auction that has seen several starts and stops.

In August, ANZ Banking Group (ANZ) said it agreed to buy some Asian units from RBS for about $550m (340m). ANZ, Australia's fourth-largest lender, said it would buy RBS's retail, wealth and commercial businesses in Taiwan, Singapore, Indonesia and Hong Kong. It will also buy RBS's institutional businesses in Taiwan, Philippines and Vietnam.

There has been speculation that RBS could also choose to sell the remaining Asia retail and commercial units separately in each country.

An RBS spokeswoman said: "RBS is in ongoing discussions with bidders for the remaining assets it has decided to sell in Asia and will make further announcements, as appropriate, in due course."

Morgan Stanley, which is advising RBS, declined to comment.