HSBC to sell entire stake in Axis Bank, Yes Bank for Rs2,448 crore

HSBC will sell its entire stakes in Indian lenders Axis Bank and Yes Bank, in deal that may fetch Europe's largest bank around $429.50 million (Rs2,448 crore), the International Financing Review (IFR) today reported.

The London-based bank will carry out the deal through its Mauritius subsidiary, said the report. The sales will be a block deal and will be executed in the secondary market.

HSBC will sell 19.6 million shares in Axis Bank for Rs950.9 to Rs970.9 per share, and 16.8 million shares in Yes Bank for Rs318.1 to Rs324.8 per share, IFR reported.

Goldman Sachs and HSBC are joint bookrunners for the sales.

Under CEO Stuart Gulliver HSBC is undertaking a major revamp of its global operations aimed at cutting costs by $3.5 billion, including steps like withdrawing from retail banking in some countries.

It recently sold some of its business in the US, Japan, Honduras, Costa Rica, El Salvador Colombia, Mexico, Peru, Uruguay and Paraguay, and is in talks to sell its South Korean and Pakistani assets.