HSBC considers reducing British Arab bank stake

LONDON: World banking giant HSBC said Tuesday it has held talks regarding a possible reduction in its near 49-percent stake in British Arab Commercial Bank, of which it is the largest shareholder.

"HSBC confirms that it has been in discussions concerning a reorganisation of the shareholdings in British Arab Commercial Bank Limited (BACB), including a possible reduction in the interest held by HSBC," said a statement.

HSBC added that any downsizing to its 48.93-percent stake "would be subject to approvals from BACB's shareholders and regulators in a number of countries."

BACB's second-biggest shareholder is Libyan Foreign Bank, which holds a stake of 26.29 percent. Central Bank of Egypt, Morocco's Bank Al-Maghrib and Algerian peer Banque Exterieure d'Algerie each hold 8.26 percent of BACB.