---
title: "HSBC Holdings plans to sell its Argentine business to Galicia, the largest private financial group in Argentina, for $550 million"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/201514383.md"
description: "HSBC Holdings plans to sell its Argentine business to Galicia, the largest private financial group in Argentina, for $550 million. The CEO of HSBC Group stated that this is an important step in executing their strategy to focus resources on more valuable opportunities. Galicia will acquire all of HSBC's operations in Argentina for $550 million, with adjustments based on performance and the fair value of the securities portfolio. HSBC expects to receive the acquisition consideration in cash, promissory notes, and Galicia's American depositary receipts"
datetime: "2024-04-09T04:18:04.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/201514383.md)
  - [en](https://longbridge.com/en/news/201514383.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/201514383.md)
---

# HSBC Holdings plans to sell its Argentine business to Galicia, the largest private financial group in Argentina, for $550 million

HSBC Holdings (00005) announced that its wholly-owned subsidiary, HSBC Latin America B.V., has signed a binding agreement to sell its Argentine business to Grupo Financiero Galicia (Galicia), the largest private financial group in Argentina.

Peter Wong, Group Chief Executive of HSBC, stated: "We are pleased to agree to sell HSBC Argentina. This transaction is another important step in executing our strategy and allows us to focus resources on higher value opportunities within our international network. HSBC Argentina is primarily a domestic-focused business with limited connectivity to other parts of our international network. Furthermore, given its scale, its performance when translated into US dollars can lead to significant earnings volatility for the group. Galicia is better positioned to invest in and develop it."

"We remain committed to Mexico and the United States, and to serving our international clients through our global network and leading trade finance capabilities."

Galicia will acquire all of HSBC Argentina's operations, including banking, asset management, and insurance, as well as $100 million of subordinated debt issued by HSBC Argentina and held by other HSBC entities, for a price of $550 million. This price will be adjusted based on the performance of the business from December 31, 2023, to the closing date and the fair value gains and losses of HSBC Argentina's securities portfolio.

HSBC expects to fund the acquisition price with cash, promissory notes, and Galicia's American Depositary Receipts, with the American Depositary Receipts representing approximately half of the consideration received and less than 10% of Galicia's economic interest

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