British banking giant HSBC continues asset disposals

British banking group HSBC Holdings Plc (LON:HSBA) said today it is selling its entire Hungarian unit, HSBC Credit Zrt, to local venture capital firm Central-Fund Kockazati Tokealap without disclosing the purchase price.

The transaction will be carried out by the group’s wholly-owned subsidiary HSBC Europe (Netherlands) BV. It has already received the needed regulatory green light and HSBC expects to close the divestment on 6 August 2012.

On 10 October 2011, the British group announced it had agreed to sell about 94% of its Hungarian consumer finance portfolio to Cofidis Magyarorszagi Fioktelepe. As part of that deal, Cofidis also took on the employees that were managing the portfolio at the time.

As at the end of June 2012, HSBC’s Hungarian unit had gross assets of USD5.28m (EUR4.3m).

London-based HSBC has some 6,900 offices in more than 80 countries and territories in Europe, North and Latin America, the Middle East and North Africa as well as in the Asia-Pacific region. The group had assets of about USD2.65trn at 30 June 2012.

Last week, the group said it had reached a USD242m deal to dispose of its 44% interest in a card processing joint venture in the Asia-Pacific region to partner Global Payments Inc (NYSE:GPN), as part of its strategy to divest non-core operations.

For more on HSBC’s asset disposals, click here.