HSBC Bank Bermuda Ltd, a subsidiary of HSBC Holdings, Tuesday said it has agreed to sell its Bermuda Trust Company Ltd and investment management operations in Bermuda to the Bank of N.T. Butterfield & Son Ltd.
The British banking giant said it will also refer its existing private banking clients to Butterfield in its filing to the Hong Kong stock exchange.
Butterfield is a community bank based in a community bank based in Bermuda.
According to HSBC, its Bermuda trust and investment business had about US$24 billion of assets under administration and US$1.5 billion of assets under management by the end of 2014.
Its private banking clients in Bermuda had about US$1.2 billion of assets under management.
The transaction is expected to complete in the first half of 2016.