HSBC sells $7.4-bn Ping An stake
HSBC Holdings’ $7.4-billion sale of stake in Ping An Insurance to Thai billionaire Dhanin Chearavanont was cleared by regulators, helping Europe’s largest bank by market value revive earnings. Dhanin’s Charoen Pokphand Group and HSBC said payment was made in cash after the China Insurance Regulatory Commission approved the sale of 976.1 million Hong Kong-traded shares in the nation’s second-largest insurer, ending six weeks of speculation over the deal’s fate. HSBC said in a statement that it expects to complete the transfer on February 6. The transaction will generate a $2.6 billion profit for HSBC, bolstering chief executive officer Stuart Gulliver’s efforts to improve profitability hurt by US probes of money laundering and compensation claims from UK clients. CP Group said on January 11 it had the resources to complete the purchase, damping concern the deal would collapse after Caixin Online reported that China Development Bank withdrew financing.
Peerless starts cash investment facility
Peerless Mutual Fund has started the option of cash investment to tap the un-banked customers in retail mutual fund schemes through select Allahabad Bank branches. This initiative is in accordance with Sebi's guidelines of allowing cash investments by investors up to R20,000 per investor, per mutual fund every financial year. "We aim to cater to the un-banked customers in tier-III and tier-IV locations through this facility. "Allahabad Bank has a strong presence in these markets and synergy of both organisations will help customers, who wish to take advantage of the growing capital markets through our schemes," Managing Director and Chief Executive Officer of the Peerless Funds Management Company, Akshay Gupta said in a release. The facility is available at select Allahabad Bank branches and will be further extended to 2,500 branches across the country, he added.