Emirates NBD Egypt is set to acquire HSBC Egypt’s retail banking business, transferring the bank’s retail loans, deposits, accounts, and supporting employees to the UAE banking group.
The transaction forms part of HSBC’s broader effort to simplify its operations and focus on its corporate and institutional banking businesses.
The parties expect to complete the deal in the second half of 2027, subject to regulatory approvals.
HSBC expects the sale to generate an estimated pre-tax gain of around US$300 million. It will recognise the gain mainly upon completion and classify it as a material notable item.
The transaction will have an immaterial impact on HSBC Group’s Common Equity Tier 1 capital ratio.
Existing retail customers can continue accessing their HSBC products and services as normal until HSBC completes the transition.
The sale follows a strategic review of HSBC Egypt’s retail banking business announced last year.
HSBC will continue its wholesale banking operations in Egypt and support multinational clients and domestic wholesale businesses. It will also focus on facilitating cross-border trade and investment flows.
Featured image credit: Edited by Fintech News UAE, based on image by Emirates NBD
