HSBC sells 2 insurance businesses to Enstar
In its latest sale, HSBC Holdings PLC is selling two of its U.S. insurance businesses to Bermuda company Enstar Group Ltd. for an estimated $181 million.
Enstar, which acquires and manages insurance and reinsurance companies, said Thursday that it will buy Household Life Insurance Company of Delaware and HSBC Insurance Company of Delaware from an affiliate of HSBC. The companies write life insurance and related products for customers in the U.S. and Canada.
The deal is expected to close by the end of the first quarter of 2013.
HSBC, Europe's largest bank, has exited at least 36 businesses since early 2011. The company is trying to slim down and focus on commercial and corporate banking and serving fast-growing emerging markets.
Shares of Enstar rose 53 cents to $94.36 by early afternoon Thursday. HSBC's U.S.-traded shares increased $1.29, or 3 percent, to $44.37.
