Ping An Insurance Group Co. said HSBC Holdings Plc doesn’t respect the concerns or views of its shareholders, the latest sign that relations between the two companies are at a low ebb ahead of the British bank’s first quarter results and annual meeting in early May.
(Bloomberg) — Ping An Insurance Group Co. said HSBC Holdings Plc doesn’t respect the concerns or views of its shareholders, the latest sign that relations between the two companies are at a low ebb ahead of the British bank’s first quarter results and annual meeting in early May.
In his second set of barbed comments this week alone, Huang Yong, chairman of the Ping An Asset Management unit, said HSBC’s response to the insurer’s proposal that the lender list its Asia business was insufficient.
“Up to now, HSBC has not engaged in any deep discussions with Ping An regarding the new strategic restructuring proposal,” Huang said. “In accordance with the fundamental principles of global corporate governance principles, HSBC should at least respect their shareholders and their concerns or views.”
Earlier this week, Huang publicly called for the creation of “a separately listed Asia business headquartered in Hong Kong,” saying it is “necessary for HSBC to push for structural reform to fundamentally address HSBC’s underlying market competitiveness issues, improve performance, enhance value and accelerate growth opportunities in Asia.”
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HSBC wasted no time in reiterating its opposition to the plan, arguing in a Wednesday statement that it misunderstands the bank and would destroy shareholder value and mean lower dividends. It said it had held about 20 high-level meetings with Ping An in the last year, including with its CEO and chairman.
A spokeswoman for HSBC declined to comment.
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