HSBC set for windfall from oversubscribed HK$150 banknotes - with proceeds going to charity
HSBC is expected to cash in HK$1 billion as its 150th anniversary commemorative banknotes are oversubscribed by up to 64 times, a source revealed.
HSBC is expected to cash in HK$1 billion as its 150th anniversary commemorative banknotes are oversubscribed by up to 64 times, a source revealed.
One expert expected to see the value of the notes - sold at HK$380 for each single note, HK$1,380 for a set of 3-in-1 uncut notes and HK$23,880 for a set of 35-in-1 uncut notes - to appreciate by up to three times, with mainland speculators taking at least 80 per cent of the notes.
The face value of the notes is HK$150 each. Two million of these notes were available, and people were able to apply until last Saturday for a maximum of three single notes, plus one set of 3-in-1 uncut notes and one set of 35-in-1 uncut notes.
According to the source, the single notes were oversubscribed by five times, the 3-in-1 uncut sets by 22 times, while the 35-in-1 sets saw 64 times more subscriptions than what is on offer.
The source said the expected profit would be HK$470 million out of revenue of HK$1 billion. The profit will be donated to the Community Chest and Hongkong Bank Foundation charities.
A spokeswoman for HSBC said the bank would not comment on the information and said the results would be announced when appropriate.
Ma Tak-wo, president of the Hong Kong Numismatic Society, said he expected the 3-in-1 sets to rake in the highest profit for speculators. He said from discussions within the industry, the single notes were expected to be resold for HK$900 each and the 3-in-1 sets for over HK$4,000 each.
"From previous experience, at least 80 per cent of the notes will be resold to mainland speculators," he said.
Ma added that the 35-in-1 sets, which may be too big to be transported to the mainland, might not be as popular.
Successful applicants will receive confirmation letters from April 14 to 24. They can pick up the notes from June 9 to 28.
