HSBC on Tuesday (Feb 18) agreed to sell its retail banking operations in Bahrain to the Bank of Bahrain and Kuwait (BBK) amid a global restructuring at the bank.
The deal will see a transfer of retail loans, deposits and accounts of about 76,000 customers to BBK, which is majority-owned by the governments of both countries.
Financial details of the transaction, which excludes its corporate and private banking businesses in Bahrain, were not disclosed.
HSBC has been scaling back its worldwide operations, exiting dozens of low-returning consumer banking activities, combining some of its commercial and investment banking businesses, and overhauling its leadership structure.
The lender has laid off about 40 investment bankers in Hong Kong, according to a source with direct knowledge of the matter, Reuters reported earlier on Tuesday.
The bank said last month it was preparing to wind down its M&A and some equities businesses in Europe and the Americas, accelerating a shift towards Asia in its biggest retrenchment from investment banking in decades.
The Asia-focused bank is due to report its full-year results on Wednesday. HSBC might unveil annual cost savings worth $1.5 billion with its results, the Financial Times reported last week. REUTERS
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