Arab Today, arab today hsbc to sell stake in china\s ping an for 94bn
Last Updated : GMT 20:40:10
Arab Today, arab today
Arab Today, arab today

HSBC to sell stake in China\'s Ping An for $9.4bn

Arab Today, arab today

Arab Today, arab today HSBC to sell stake in China\'s Ping An for $9.4bn

Hong Kong - AFP

Britain\'s HSBC said it would sell its stake in China\'s second largest life insurer Ping An for $9.4 billion, as it looks to shift its focus back towards its traditional banking business. The lender said in a statement it would sell its entire 15.57 percent holding in Ping An Insurance Group to Thai conglomerate Charoen Pokphand Group at HK$59 ($7.66) a share, making it the biggest foreign purchase by a Thai firm. Ping An recently hit the headlines after the New York Times said last month that relatives of Chinese Premier Wen Jiabao had gained from its Hong Kong listing in 2004 by buying stock at a discount before the sale. The insurer has denied those claims and threatened legal action against the newspaper. HSBC Group Chief Executive Stuart Gulliver said in the statement the sale would benefit shareholders, but added that China remained \"a key market for the group\". He said the firm would \"strengthen our focus on growing our own operations and building on our long-term strategic banking partnership with the Bank of Communications\", China\'s fifth largest lender, in which HSBC has a 19 percent stake. HSBC, which first bought into Ping An in 2002, has been selling its non-core assets as part of a broad restructuring plan designed to boost profitability. \"They can unload their non-core assets and resources to refocus on their main business, which is banking,\" Tanrich Securities Vice President Jackson Wong told AFP. London and Hong Kong-listed HSBC is also setting aside hundreds of millions of dollars as provision for fines related to possible criminal charges over money-laundering allegations in the United States. Ping An said it \"respected\" the decision by HSBC to divest and credited the bank for helping it grow its financial business. While Ping An\'s core business is life, property and liability insurance, it has interests in other financial services, and has its own bank. A spokesman for the firm, Sheng Ruisheng, told AFP it did not plan to make any changes to strategy with the new stakeholder. \"Charoen Pokphand Group agrees with Ping An\'s strategic culture and business model and has full trust and confidence in Ping An\'s management team,\" he said. Charoen Pokphand, backed by Thai tycoon Dhanin Chearavanont, began as an agricultural business but has grown into a huge conglomerate with interests in sectors from retail to telecoms and software solutions to real estate. It saw annual revenue of more than $33 billion in 2011. The firm was one of the first overseas agribusiness companies to invest in China in the late 1970s and now accounts for more than a quarter of its poultry exports. Shares in Ping An climbed after the announcement, surging 4.68 percent to HK$60.35 in Hong Kong and 3.66 percent to 28.76 yuan in Shanghai. HSBC was 1.27 percent higher at HK$79.70 in afternoon trade in Hong Kong. A Ping An official, who declined to be identified, told AFP on Wednesday that HSBC started negotiations on the sale \"long ago\" in advance of the New York Times report. The paper last month reported that Ping An chairman Ma Mingzhe wrote in 1999 to Wen, who was vice-premier at the time, and met his wife as the government considered a decision on whether to split up the company. After the lobbying, it said, the government granted Ping An a waiver from a requirement that large financial companies be broken up. Following the decision, an investment vehicle -- later controlled by relatives of Wen -- bought shares in Ping An at a significant discount, long before most other investors could buy into it, the report said. Ping An said of the report that \"recent media coverage related to the company\" contained \"serious inaccuracies, facts being distorted and taken out of context, as well as flawed logic\". -- Dow Jones Newswires contributed to this story --

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today hsbc to sell stake in china\s ping an for 94bn Arab Today, arab today hsbc to sell stake in china\s ping an for 94bn

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today hsbc to sell stake in china\s ping an for 94bn Arab Today, arab today hsbc to sell stake in china\s ping an for 94bn

 



Arab Today, arab today
Arab Today, arab today Youssra depended on colored foam

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today EasyJet, Lufthansa among seven to bid

GMT 06:49 2017 Tuesday ,17 October

EasyJet, Lufthansa among seven to bid
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today Fighters celebrate Raqa victory

GMT 06:07 2017 Wednesday ,18 October

Fighters celebrate Raqa victory
Arab Today, arab today Hiring not part of Alibaba pledge

GMT 11:26 2017 Wednesday ,18 October

Hiring not part of Alibaba pledge
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Sidem reveals plan to improve education

GMT 15:52 2017 Friday ,06 October

Sidem reveals plan to improve education
Arab Today, arab today British actress becomes fifth woman

GMT 18:15 2017 Monday ,16 October

British actress becomes fifth woman
Arab Today, arab today Climate-disrupting volcanoes helped topple

GMT 16:00 2017 Wednesday ,18 October

Climate-disrupting volcanoes helped topple
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Mercedes says recalls 400,000 UK cars

GMT 06:56 2017 Tuesday ,17 October

Mercedes says recalls 400,000 UK cars
Arab Today, arab today Britain's Vauxhall to cut 400 jobs

GMT 10:53 2017 Sunday ,15 October

Britain's Vauxhall to cut 400 jobs
Arab Today, arab today Dalal Abdel Aziz happy for “Seventh Neighbor”

GMT 09:31 2017 Monday ,16 October

Dalal Abdel Aziz happy for “Seventh Neighbor”
Arab Today, arab today Three killed, 360,000 without power

GMT 05:11 2017 Tuesday ,17 October

Three killed, 360,000 without power

GMT 12:33 2017 Friday ,13 October

Anoshka happy for reactions to her talk show

GMT 10:37 2017 Thursday ,12 October

Cara Delevingne accuses Weinstein

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha

GMT 18:49 2017 Monday ,16 October

India to close colonial-era military farms

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 23:42 2017 Monday ,16 October

Better Marriages Make

GMT 07:02 2017 Sunday ,15 October

German minister sparks uproar

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 03:59 2017 Sunday ,15 October

US mobile carriers Sprint, T-Mobile to merge

GMT 11:37 2017 Saturday ,12 August

Fashion designer reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday