Largest British bank fell under cross -fire of United States and China

Chinese financial conglomerate Ping An wants to ruin the largest British Bank HSBC 20 years after the Global Bank invested in the future of the insurer, which indicates the difficulties of doing business in China, writes Bloomberg.

The Agency notes that for many years HSBC Holdings PLC and Ping An Insuraance Group Co. maintained a warm relationship that included financial support.

, at the top management of the British bank, a shock swept when it turned out that the largest shareholder of the company insists on the most dramatic split in banking history.

Ping An under the guidance of Peter Ma calls the chairman of the HSBC board Mark Taker to consider the options for the business section. In particular, the separation of the company and a separate listing of its Asian operations in the stock market. In a recent private note, the Chinese financial giant substantiated its decision by many alleged managerial failures in HSBC, from low profitability to growing expenses.

The founder of Strategy Risks, which specializes in corporate relations with China, Isaac Stone Fish said that Ping An understands how the regulation winds blow: “Companies are increasingly having to choose between the USA and China, and we can see that more and more corporations are considering the possibility of decay as a way of choosing between two powers. “

It is noted that the consequences of this can be huge. The HSBC headquarters is located in London, but operates in 64 countries and regions, including Hong Kong, Singapore, India and Malaysia. Asia, where approximately half of the 220,000 employees of the company are based, provided about 65% of the declared profit of the group before tax in 2021. Any decay will cost billions of dollars.