HSBC acquires RBS Indian unit in $95m deal
RBS continues to reduce costs
Royal Bank of Scotland (RBS) has successfully negotiated the
sale of its Indian banking division to rivals HSBC.
The taxpayer-owned firm has offloaded its $95 million (£62.5
million) unit in an attempt to reduce costs.
HSBC expect the deal to be completed by the first half of 2011,
subject to regulatory approval.
"The main focus of our strategy is on emerging markets and this
acquisition is our third transaction in one of the world's largest
and fastest growing developing markets in the last two years," HSBC
chief executive officer Michael Geoghegan said in the
RBS India has $1.8 billion worth of assets and employs around
35,000 consumers across its 31 branches.
HSBC already have banking operations in India and the move will
add to its already substantial customer base in the country.
The deal follows the sale of RBS banking arms in Argentina,
Kazakhstan, Pakistan and the United Arab Emirates in the past