HSBC may find itself with no other option than to sell its French activities at a considerable loss.
The actions of European lenders have been hit hard by the Covid-19 pandemic, with HSBC also caught between the United States and China due to tensions sparked by the latter’s authoritarian approach to Hong Kong and tensions that result with the West.
Cerberus and the other company would have been the only remaining potential bidders.
HSBC tries to get rid of underperforming companies in order to increase its return on capital.
HSBC France’s private banking and wealth management branch recorded an interim loss of € 225 million before tax.