HSBC to offload card business in the US?

9 August 2011

HSBC could be set to sell its US card and retail business as it looks to reduce its operations in North America.

Bloomberg reports that the bank is in talks to offload the unit as it aims to turn its attention to retail banking in the UK and other emerging markets deemed to be faster growing.

According to a person familiar with the matter, Capital One Financial Corp is locked in discussions to take over the credit card business.

However, in a filing to the Hong Kong stock exchange, the bank - which has offices in 87 countries - noted: "These discussions are ongoing and no decision has yet been made to proceed with any transaction."

The movement comes after the lender announced it is aiming to pocket about $1 billion by selling around half of its outlets in the US, as well as closing branches in Poland and offloading assets in Russia.

By Tony Aynsley


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