MNI: US NOV FINAL MANUF PMI 49.7 (FLASH 48.8); OCT 48.5

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

MNI: UK NOV FINAL MANUF PMI 48.0 (FLASH 48.6); OCT 49.9

MNI: PBOC Net Drains CNY216 Bln via OMO Monday

MNI: PBOC Sets Yuan Parity Lower At 7.1865 Mon; -1.50% Y/Y

MNI: China CFETS Yuan Index Up 0.01% In Week of Nov 29

MNI: EUROZONE OCT UNEMPLOYMENT RATE 6.3%

MNI: EUROZONE NOV FINAL MANUF PMI 45.2 (FLASH 45.2); OCT 46.0

MNI: GERMANY NOV FINAL MANUF PMI 43.0 (FLASH 43.2); OCT 43.0

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

MNI EXCLUSIVE: German Turmoil Dashes EU's Joint-Funding Hopes -Officials

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

HSBC Sells Argentine Business: Very Small Spread Positive

FINANCIALS

HSBC sells Argentine business, recognises loss on sale (USD1bn) but (marginally) derisks and simplifies group. If anything, a minor spread positive, we feel. The local entity’s sub debt is being subsumed by the buyer.


  • HSBC (HSBA LN) announced the sale of its Argentine business to GF Galicia (GGAL AR), the no.4 bank in Argentina (by deposits). HSBC was the no.9 bank with c.4% share so this helps Galicia into the top 3.
  • GF Galicia is paying USD550m for the business (around 10% of its own market cap) so this is significant for the acquirer but not for (USD150bn market cap) HSBC. The latter will recognise a USD1bn loss-on-sale but the FX losses in reserves are already excluded from regulatory capital so this realisation has little capital effect (company says <0.1pp of CET1).
  • HSBC is in the process of derisking and simplifying the group, this is a logical step and, whilst very small, every little helps.
Credit BulletsHomepagemarkets-real-timeCreditBank Of England (BOE) Market NewsBulletUK
Credit BulletsHomepagemarkets-real-timeCreditBank Of England (BOE) Market NewsBulletUK

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.