London-headquartered diversified financial conglomerate HSBC is gearing up to offload its general insurance business in Macau, as part of its strategy to get rid of unprofitable businesses across the globe.
One of its indirect wholly owned subsidiaries, HSBC Insurance (Asia) has inked an agreement to sell the insurance business to QBE Insurance.
The gross asset value of this business was nearly HK$6.97m ($0.9m) at 31 December 2012.
Further, the bank has also entered into a non-exclusive agreement with QBE to distribute their general insurance products to the bank's customers in Macau, while QBE will pay commissions to the bank on product sales.
Pending receipt of regulatory approval as well as satifying closing conditions, the transaction is likely to conclude during the first half of 2013.
HSBC Insurance (Singapore) has recently inked an agreement to dispose of its group term life insurance and group medical insurance portfolios in Singapore to AXA Life Insurance Singapore, for an undisclosed sum.
Most recently, HSBC disposed of its US Canadian closed life insurance operations to a wholly-owned subsidiary of Bermuda-based Enstar Group (ESGR) for $181m.
