HSBC Retail Services, an indirect wholly owned subsidiary of HSBC Holdings, has inked an agreement to dispose of its consumer private label credit card portfolio to TD Financing Services, in an undisclosed deal.
As of 28 February 2013, the gross value of the portfolio was approximately C$495m and the agreement expedites the sale Canadian consumer finance business closure originally announced by HSBC on 21 March 2012.
Following disposal of credit card business, the bank will continue to focus on the core businesses including commercial banking, global banking and markets, and retail banking and wealth management.
Subject to concerned regulatory approval and customary closing conditions, the transaction is expected to conclude during the third quarter of 2013.
TD Financing Services operates as a wholly owned subsidiary of The Toronto-Dominion Bank, which serves almost 22 million customers through four key business lines.
HSBC Retail Services is a subsidiary of HSBC Bank Canada.