StanChart mulls over selling Hong Kong, Shenzhen consumer finance businesses

A consortium will take over afterwards.

Standard Chartered Bank (Hong Kong) Limited has entered into agreements to sell its consumer finance subsidiaries, PrimeCredit Limited (“PCL”) and Shenzhen PrimeCredit Limited (“SZPC”).

According to a release from Standard Chartered, the sale will be to a consortium led by China Travel Financial Holdings Co., Limited, as major investor, together with Pepper Australia Pty Limited and York Capital Management Global Advisors, LLC.

The transaction is subject to certain conditions including regulatory approvals for the change of control of SZPC.

The release also said that upon completion of the acquisition of PCL, the consortium has agreed to sell a portfolio of PCL’s residential mortgages with a book value of approximately HKD5,900 million to The Bank of East Asia, Limited.