HSBC is to buy United Overseas Bank (UOB) of Singapore’s stake in Asia Fund Services (AFS) for $2.6 million.
AFS, which offers shareholder services in Singapore, was established in February 2004 as a joint venture between HSBC and UOB. Under the joint venture, the two companies developed a new share registry service and reporting system catering for the needs of institutional fund services clients in Singapore.
UOB’s 50% stake in AFS will cost HSBC S$4.5 million. Upon completion, AFS will be 100% owned by HSBC Institutional Trust Services (BVI) and renamed HSBC Securities Services (Transfer Agency).
Commenting on the development Nick Bryan, head of HSBC Securities Services in Asia Pacific, said: We have great confidence in the shareholder services software that has been developed by Asia Fund Services. The improved functionality, flexibility and efficiency of the system allow HSBC to unify its shareholder services globally.
Full ownership of Asia Fund Services will enable us to accelerate the transfer of clients to the enhanced platform in a seamless and efficient manner.