Granting of restricted banking licence to Lloyds Bank Plc

A spokesman of the Hong Kong Monetary Authority said today (24 April 1997) that Lloyds Bank Plc (LB) had been granted a restricted banking licence by the Monetary Authority under the Banking Ordinance on 18 April 1997.

LB is a wholly owned subsidiary of Lloyds TSB Group Plc, one of the Big Five Banks in the UK and ranks amongst the top 50 banks in the world in terms of total assets and tier 1 capital. LB has an extensive domestic branch network and maintains a presence in 18 countries including the Netherlands, Switzerland, Japan and the USA.

LB is acquiring the business of Hill Samuel Bank Ltd. ("HSB") and HSB will be dissolved in the UK as part of the restructuring of the Lloyds TSB Group. The main reason for LB's application as a branch in Hong Kong is to take over the business of the Hong Kong Branch of HSB as part of this restructuring process. The principal activities of HSB are the provision of mortgage loans to local customers for the purchase of overseas residential properties. This business will be taken up by LB. The current activities of LB's representative office in Hong Kong will also be carried on in the branch.

After the grant of a restricted banking licence to LB, the number of restricted licence banks in Hong Kong has increased to 64.

Hong Kong Monetary Authority
24 April 1997