Three on short list for Citi’s HK mortgage business
(Hong Kong) - Bank of China (HK), Hang Seng Bank and the Hong Kong Mortgage Corporation have emerged as the final three bidders for Citibank's HK$13 billion Hong Kong mortgage portfolio, according to local reports.
The bidding is expected to come down to Hang Seng, which is majority owned by HSBC, and the Bank of China, which is widely tipped as the likely winner due to its willingness to offer a higher premium.
The BOC is currently the territory's third largest mortgage lender, with HK$105.8 billion in outstanding loans, and will leapfrog HSBC to become the number one lender if it secures the deal.
Citibank decided to retreat from the battered HK mortgage sector last year, and asked potential buyers to express their interest by a deadline of last Friday.
The BOC is currently the territory's third largest mortgage lender, with HK$105.8 billion in outstanding loans, and will leapfrog HSBC to become the number one lender if it secures the deal.
Citibank decided to retreat from the battered HK mortgage sector last year, and asked potential buyers to express their interest by a deadline of last Friday.
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