HSBC announces strategic review of Malta shareholding

HSBC Bank Maolta has announced HSBC Holdings plc yesterday evening informed the Board of Directors that it will undertake a strategic review of its indirect 70.03% shareholding in the Bank.

“The Bank recognises the important role it plays in Malta’s economy and society and is making this announcement in line with its market obligations, and to support the smooth functioning of the public market,” it said in a press release.

The Bank will make further announcements as and when required, it said.

For years, rumours have circulated about HSBC leaving the Maltese market, driven by the global bank’s gradual shift away from Europe and smaller markets in favour of Asia.

As recently as last January, the current head of the Malta branch dismissed speculation of the bank's exit from the country, stating that he was appointed to lead it “for the long term.”

In 2020, HSBC announced its branches in Mellieħa, San Ġwann, Żabbar and Żebbuġ, will not be re-opening after their closure during the COVID-19 pandemic.

HSBC said the closures reflected the continued increase of digital banking services during the pandemic.

Earlier this year, HSBC Malta posted a pre-tax profit for 2023 of €134 million. It announced shareholders will receive a final gross dividend of 9c per share, which brings the total dividend for 2023 to 15c per share.