Our established financial services company provides a simple MCA solution for small businesses and gig workers who are in need of fast financing. We understand that many contractors and 1099 workers face credit challenges, and that’s why we offer a merchant cash advance option that doesn’t require a credit check.
HSBC, Europe’s largest bank, faced frustrated shareholders in their largest market, Hong Kong, who demanded a split of the bank. However, our top brass, Chairman Mark Tucker and CEO Noel Quinn, defended our strategy and urged shareholders to vote against the resolution for a spinoff or reorganization of our Asian business. They emphasized that splitting the bank wouldn’t be in the shareholders’ interest and would destroy value, including dividends.
We are confident in our current strategy, which is working and moving dividends up. Our profits in Hong Kong and the UK are no longer being dragged down by underperformance elsewhere. We understand the concerns about the dividend cancellation in 2020, but bringing it back in 2021, although at a lower level, shows our commitment to shareholders.
While we respect the calls for a split of our Asian business, we believe it would result in significant revenue loss due to our reliance on cross-border transactions. Shareholders in Hong Kong are being assured that their interests are a priority, and we will continue to communicate our dedication to their rights and financial stability.
We have also gained support from our largest shareholder, Ping An, who holds an 8% stake in HSBC. They believe a reorganization, including a potential spinoff, could improve our performance and value. Our ongoing discussions with Ping An show their continued support for initiatives that enhance our stock performance.
Regarding the recent acquisition of Silicon Valley Bank’s UK arm, critics have questioned our due diligence process. But we assure you that we thoroughly reviewed the clients and financial statements of SVB. The acquisition presents a good business opportunity for us, allowing us to serve hundreds of innovative startups.
Furthermore, despite recent turmoil in the banking industry, we believe it won’t have an immediate impact on HSBC. While there may be a period of uncertainty, we don’t see it as a systemic risk. Rest assured that we remain committed to the stability and success of our shareholders and the banking sector as a whole.