Understand the impact of the Ukraine conflict from a cross-sector perspective with the Global Data Executive Briefing: Ukraine Conflict
British banking group HSBC has reached an agreement with Expobank to sell its Russian business and exit the country.
Go deeper with GlobalData
“Following a strategic review, HSBC has signed an agreement to sell 100% of its participating interests in HSBC Bank (RR) LLC to Expobank JSC,” the London-based bank was quoted by Bloomberg as saying.
The deal is subject to regulatory approvals in Russia, HSBC said without disclosing the financial details of the transaction, which will see it exit the country.
If the deal goes through, HSBC will become the latest international bank to exit Russia after it launched a military operation against Ukraine in late February this year.
In April, French banking group Societe Generale reached an agreement with Russia’s Interros Capital to sell its lending and insurance assets in the country.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataThe news comes as Moscow prepares to block foreign banks from exiting the county as long as its banks cannot operate normally abroad.
Earlier this week, Russian Deputy Finance Minister Alexei Moiseyev stated that no foreign banks in Russia will be allowed to sell their assets until the situation improves and if requests are received, they will be rejected.
Separately, the Central Bank of Russia said it is yet to receive a request for the purchase of HSBC’s local arm and any such deal is not under consideration, Interfax reported.
“An application on the acquisition of HSBC’s Russian business has not been submitted to the Bank of Russia. Thus, the Bank of Russia is not currently studying the possibility of concluding such a transaction,” the central bank’s statement read.
