The Hong Kong and Shanghai Banking Corporation, a wholly-owned subsidiary of HSBC, confirmed today it is in talks about a possible sale of its wealth management and retail banking business in Mauritius.

The Hong Kong and Shanghai Banking Corporation, a wholly-owned subsidiary of HSBC, confirmed today it is in talks about a possible sale of its wealth management and retail banking business in Mauritius.

The firm gave few other details about the talks, including other interested parties.

“These discussions are ongoing and may or may not lead to a transaction,” the bank said in a statement today. It said a further announcement will be made “if or when appropriate”.

“HSBC remains committed to the Mauritius market and continues to invest in growing its global banking and markets and commercial banking businesses there,” it added.

Meanwhile, over the weekend, Dow Jones reported that HSBC Financial Services (Middle East) will sell 80.1 per cent of HSBC Private Equity Middle East, to Havenvest Partners, or HPL. 

HP is a firm set up by members of HPEME's current management team; it will acquire consolidated gross assets of $3.4 million on completion. HSBC will retain a 19.9 per cent interest in HPEME, which will be renamed on completion. HPEME has funds of $480 million under management. HSBC, as part of a cost-cutting drive, has been disposing of a range of assets. 

Earlier in March, HSBC agreed to sell its general insurance manufacturing portfolios in Hong Kong, Singapore, Argentina and Mexico to AXA and QBE in separate deals valued at $914 million, coming as the latest in a series of fire sales from the global bank. French insurer AXA Group and Australian insurer QBE Insurance Group will become the exclusive provider of general insurance products to HSBC’s customers in Hong Kong, Singapore, China, Indonesia, Argentina and Mexico, under an exclusive 10-year bancassurance agreement, according to a statement from the firm. 

It is the latest in a string of asset sales from the bank. HSBC is beating a retreat from sectors and regions where it lacks scale, as part of its strategy to focus its capital and resources on the growth of its core businesses. The bank’s wide-reaching cost-cutting programme and global restructuring will impact around 30,000 jobs, as Gulliver attempts to rein in costs in a difficult trading environment.