HSBC in talks to sell Ping An insurance stake

 
City A.M. Reporter
HSBC confirmed this morning it was in talks to sell its 15.57 per cent stake in China’s Ping An Insurance.

HSBC spent $1.7bn (£1.07bn) to build up the stake in China's second-largest insurer in 2002 and 2005, but a sale has been widely expected as part of its three-year recovery plan in the wake of the 2008 financial crisis and regulatory reforms.

In a statement, the bank confirmed it was in discussions to sell its stake, but stressed that it may not lead to a sale.

HSBC has announced 41 disposals and closures since the start of 2011, and the potential sale its stake in Ping An fuelled speculation about other assets that are not core to its day-to-day business operations.