HSBC shares fall amid reports top shareholder Ping An may sell shares

Actions of HSBC Holdings fell more than 3% in Hong Kong on Friday after reports that its largest shareholder Ping An Insurance could seek to reduce its stake in the British bank.

Despite the fall, HSBC’s share price remains at its highest level since August 2018, trading at around HK$68 per share.

Citing people familiar with the matter, Bloomberg reported that the Chinese insurer was considering further reducing its stake in the bank “as it seeks to reduce its $13.3 billion position in Europe’s largest lender.” .

There are several options, including “further stock sales, similar to the $50 million sale announced last week.”

Ping An sold HSBC shares worth 391.49 million Hong Kong dollars ($50.19 million) on May 7, reducing its stake from 8.01% to 7.98%.

This is Ping An’s first share sale since it backed a 2023 shareholder motion to split its Asia business and establish fixed dividends. This motion was ultimately rejected.

“A sovereign wealth fund or ultra-wealthy investor in the Middle East taking a significant stake is another possibility,” Bloomberg said, citing unnamed sources.