智通财经网·2025-10-09 15:07Core Viewpoint - HSBC Holdings announced a proposal to privatize Hang Seng Bank for a cash consideration of HKD 106 billion (approximately USD 13.6 billion), which will impact its CET1 capital ratio and lead to a temporary suspension of stock buybacks [1] Group 1: Transaction Details - The cash consideration for the acquisition is HKD 106 billion, equating to HKD 155 per share for minority shareholders [1] - The transaction will result in a decrease of 125 basis points in HSBC's CET1 capital ratio [1] Group 2: Financial Implications - To maintain the CET1 ratio within target ranges, HSBC will suspend stock buybacks for three quarters, which is estimated to reduce buyback scale by approximately USD 7 billion [1] - Morgan Stanley projects that by the end of Q2 2026, HSBC's CET1 ratio will be around 14% [1] Group 3: Performance Metrics - HSBC's Hong Kong business is expected to report a ROTE of 38% for 2024, while Hang Seng Bank's ROE is projected at only 11% for the same period [1] - Short-term price adjustments for HSBC are anticipated, with Morgan Stanley expecting a mid-single-digit percentage decline [1] Group 4: Long-term Outlook - Despite the short-term challenges posed by the transaction, Morgan Stanley believes it will have positive long-term effects for HSBC [1]