HSBC to sell Australia loan portfolio to Blackstone‑owned Virgo BidCo
HSBC Holdings PLC on Friday announced it will sell the Australian home and personal loans portfolio of HSBC Bank Australia to Virgo BidCo Pty Ltd, an entity owned by funds managed by affiliates of Blackstone Inc.
The portfolio carries a book value of about AUD36 billion as at March 31, 2026, approximately USD25.29 billion.
The London-based bank focused on Asia said the sale follows a strategic review and will see Pepper Money Ltd appointed as servicer of the loans after completion.
Certain securitised loans held in the Lion Trust are not included in the transaction, though HSBC Australia intends to resign as both servicer and manager of that securitised pool, with Pepper Money and Perpetual Nominees Ltd to be appointed as successors.
Completion is expected in the first half of 2027, subject to regulatory, competition and other approvals.
HSBC Australia will wind down the remainder of its retail business over the next 18 months, after which its corporate, institutional, private banking and asset‑management operations will be consolidated into HSBC Sydney branch.
HSBC said it remains committed to investing in and expanding its corporate and institutional banking franchise across Australia and New Zealand.
Shares in HSBC were up 1.3% at HKD166.70 in Hong Kong on Friday.
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