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HSBC to expand in Poland
11 September 2003
HSBC is to expand its operations in Poland, following today’s decision by the Polish Commission of Banking Supervision to allow the Group to proceed with its proposed acquisition of Polski Kredyt Bank S.A. and obtain a new banking licence.
HSBC is in negotiations to buy Polski Kredyt Bank S.A. from its parent, Kredyt Bank S.A., for approximately PLN31 million (approximately US$7.8 million). The acquisition is subject to a number of terms and conditions, including the completion of due diligence and regulatory approvals. It is expected that the acquisition will be completed in the third quarter of 2003. HSBC intends to rename Polski Kredyt Bank S.A. as HSBC Bank Polska S.A. following completion.
Consumer finance operations are planned for launch in the fourth quarter of 2003 using Household’s established business model. Relationships will be established with retail partners and services cross-sold to their customers. Unsecured loans, credit cards and affinity cards will then be made available to these new customers in 2004.
HSBC currently offers corporate finance advisory and stockbroking services to Polish and international companies from its Warsaw headquarters. The proposed acquisition will give the Group the ability to develop further its Corporate, Investment Banking and Markets businesses in Poland from early 2004. These will include Treasury, Corporate Banking and Payments & Cash Management services.
Lech Kurklinski, Deputy Chief Executive Designate, HSBC Bank Polska S.A., will lead the consumer finance business. David Thomas, Chief Executive of HSBC Investment Services Poland and HSBC Securities Polska, will continue in his current role, leading the development of client relationships.
Chris Ignatowicz, Chief Executive Designate HSBC Bank Polska S.A. and country manager Poland, said: “We are grateful to the Commission for supporting our expansion plans. These demonstrate HSBC’s commitment to helping the development of the Polish economy as it plans to enter the European Union on 1 May 2004. The business model we have adopted will allow the combined strengths of HSBC and Household to create a powerful banking and financial services business in an important market.”
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