United States banking group Chase Manhattan has put its retail banking business in Hong Kong up for sale in a tender process that could attract bids of more than HK$6.72 billion.
Chase declined to comment, but banking sources close to the deal said buyers were given until yesterday to submit opening 'indicative bids'.
'They are selling all their retail business - the branches, mortgage loans, consumer finance, credit cards - everything that is not wholesale,' said one bidder.
'They have made a strategic decision to quit the retail business and focus on wholesale and investment banking alone,' he added.
Chase is in the process of buying investment bank Robert Fleming and its Asian arm Jardine Fleming.
Analysts said the tender process would most likely result in an aggressive bidding war since cash-rich Hong Kong banks were struggling to grow their loan books organically.