HSBC to fully acquire Indian securities trader InvestSMART

Shu-time HSBC recently announced that it has made a proposal to Il&fs InvestSMART 2¥q, one of India's largest financial institutions, to acquire 6.14% per cent of HSBC's outstanding holdings, And to cancel the listing of InvestSMART on the Bombay Stock Exchange and the National Stock exchange of India.　　If the takeover succeeds, InvestSMART will become a wholly owned subsidiary of HSBC. In a statement issued by HSBC to CBN, HSBC said that it had passed its HSBC Nomura and capital CMC (India) Private 2¥q and HSBC Violet Investments (　　Mauritius) 2¥q, a 93.86% per cent acquisition of InvestSMART at the total cost of 13.963 billion Indian rupee. Analysts in Hong Kong say this is one of the major moves by HSBC to further expand the Asian market.　　In the midst of the financial crisis, HSBC suffered heavy losses in its European and American markets and even shut down a financial subsidiary in North America, but its operations in the Asia-Pacific region have received little gain, making it one of the world's biggest banks to re-examine the importance of Asian markets. Whether HSBC can completely cancel InvestSMART's listing status remains to be approved by Indian authorities.　　According to the 2009 Indian Stock Exchange on the cancellation of the listing of shares, the conditions for the cancellation of listing proposals include: InvestSMART Board, shareholders and shares listed on the stock Exchange must first obtain approval. HSBC said its share price, based on the cancellation proposal, would be determined in accordance with the "reverse-entry procedures" set out in India's listing requirements, which would allow shareholders to offer an acquisition price for the shares, but not less than the minimum price set for the provision.　　The accepted acquisition price representing the maximum number of shares will be recognized as the final purchase price and the acquirer is entitled to accept or reject the final purchase price.　　HSBC also disclosed that the InvestSMART board had informed the Bombay Stock Exchange and the national Stock Exchange that it would cancel its listing, and had already sent letters to the Luxembourg Stock Exchange, indicating an intention to lift the listing of global pre-trust shares in the market. According to HSBC's announcement, Il&fs InvestSMART Group is one of the largest financial services institutions in India, offering a wide range of investment products to individual and institutional clients through its subsidiaries in India and Singapore, including securities brokers, investment banks, insurance brokers and distributors, Mutual fund distribution and related financing services. InvestSMART currently employs about 1500 people and is located in 77 branches and 153 franchises in more than 50 cities across India, with a totalMore than 160,000 customers.