Hang Seng Bank appoints Somerley Capital to assess HSBC's buyout offer

Core Viewpoint - Hang Seng Bank has appointed Somerley Capital as a financial adviser to evaluate HSBC Holdings' proposal to buy out minority shares, ensuring the offer is fair to independent shareholders [1][3]. Group 1: Advisory Role and Process - Somerley Capital will provide an opinion to assist the independent board committee in assessing HSBC's buyout proposal [1][2]. - The advice and recommendations from Somerley and the committee will be included in a forthcoming scheme document for Hang Seng Bank's shareholders [2]. - This advisory process is standard in privatization and aims to streamline the approval at the shareholders' meeting, with completion expected within the next few months [3]. Group 2: Privatization Details - HSBC announced a plan to privatize Hang Seng Bank, offering HK$155 per share, which represents a 30% premium over the stock's closing price prior to the announcement [4]. - The privatization deal is expected to conclude in the first half of 2026, subject to approval from at least 75% of minority shareholders and the Hong Kong High Court [5]. - Hang Seng Bank has no significant shareholders apart from HSBC, with shares held broadly by passive investment funds [6]. Group 3: Somerley Capital's Credentials - Somerley Capital is licensed for securities dealing and corporate finance advisory under Hong Kong's Securities and Futures Ordinance [7]. - It was ranked seventh among financial advisers for China-related mergers and acquisitions in the first three quarters of the year, holding a 6.7% market share [7].