DEBT FINANCING. HSBC launches sale of non-life insurance: sources

HONG KONG (Reuters)-HSBC Holdings Plc (HSBA.L fonts) (0005.HK) launched the sale of its non-life insurance company, told Reuters on Monday, a value of about $ 1 billion global Division and now part of the plan to strip off nonessential units.
HSBC, Europe's largest bank with a large presence across Asia, had sent a memorandum of information for potential buyers, with first round bids due by mid-October, said a source.
HSBC Operates non-life insurance companies in Britain, France, Hong Kong and Singapore. The operations of Hong Kong and Singapore only bring about $ 400 million in annual awards, said the source.
The non-life insurance companies of HSBC achieved pre-tax profit of about $ 1 billion in 2010, according to a presentation by HSBC in June.
"We don't comment on market rumors or speculation," said a spokesman for HSBC based in Hong Kong.
The sources refused to be identified as the sale process was not public.
Participation of HSBC 16 percent Ping An insurance (Group) Co China Ltd (2318.HK) (601318.SS) and 18 per cent in Viet Nam Bao, a financial institution in the internal market, were not part of the sale, said the source.
Investment banking arm of HSBC was running the sale process, the source added.
In may, HSBC announced non-essential business plans, which included reducing its network of 475 U.S. branches focus on international business customers U.S. and sale of various European retail banking businesses including those in Poland and in Russia.
(Reports by Denny Thomas; Additional reporting by Kelvin Soh; Edited by Michael Flaherty and Chris Lewis)

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