HSBC confirms talks over US credit card business

9th Aug 2011 07:42

Banking giant HSBC has confirmed the rumours that it is in discussions regarding the possible sale of its card and retail services business in the United States. The company released a statement on Tuesday stating, "these discussions are ongoing and no decision has yet been made to proceed with any transaction." Rumours of a sale have been circulating since May when Chief executive Stuart Gulliver announced the bank had plans to conduct an assessment of its US branch network and cards business, but emphasised that it would only be sold for a "sensible" price. Capital One is the company most widely rumoured to be the eventual buyer of the business.The move, which comes just days after HSBC announced the sale of 195 branches in the US for $1bn, reflects the group's continued move towards a greater focus on UK retail banking and fast growing markets. The bank recently announced job cuts of 30,000 but anticipates it could take on as many as 15,000 employees in the emerging markets in the next three years. The share price was down 1.77% to 528.40p at 08:54. NR