• Financing
    • Enable growth

Opening up a world of opportunity for our clients’ strategic cross-border ambitions

More than ever, our clients have sought solutions which allowed them to continue to grasp market opportunities while ensuring operational risks were mitigated. Our escrow solutions have been a recurring theme amongst clients.

HSBC Issuer Services clients navigated a number of material challenges throughout 2022. As we move into 2023, it is helpful to reflect on how certain macro headwinds from last year such as debt and equity market volatility, geopolitical events, inflation and related monetary policy action, reshaped financial markets and impacted M&A activity.

Throughout the last year we observed a number of interesting trends amid signs of resilience and we expect many of these to continue into 2023, including:

  • Private Equity continues to be a key driver for M&A deal-making
  • Appetite for cross-border deals has evolved with companies prioritising partnerships in countries where they have established relationships, highlighting an elevated desire for certainty and ease of doing business

From an Issuer Services perspective, we continue to work closely with corporate and financial institutional clients that are pursuing merger or acquisition plans whilst putting a greater onus on the timing and security of the operational aspects of these transactions.

“By providing dedicated, operational support throughout the lifecycle of our clients’ transactions, HSBC Issuer Services aims to bring certainty and peace of mind and ultimately to help our clients achieve their strategic objectives.” says Simon Field, Global Head of Issuer Services.

2022 was a year of uncertainties in the financial markets, with both opportunities and challenges. We have seen this reflected in the M&A market.

The environment has presented a number of challenges in deal execution – approvals and securing financing being two especially notable areas. Given a more opaque outlook, transactions are certainly taking longer to complete.

As such, our escrow solutions have been a strategic enabler in the acquisitions we supported. For instance, using escrow accounts was pivotal in helping clients to mitigate timing and counterparty risks and to protect their funds, providing adequate risk and execution frameworks.

Indeed, the transactions highlighted below show that in 2022 risk mitigation has become a greater concern for our clients with cross-border growth strategies. Our Issuer Services proposition is designed to do just that: to support and enhance the corporate strategies of leading global companies and financial institutions at all times, including in times of volatility.

2022 was a year of uncertainties in the financial markets, with both opportunities and challenges and this has been reflected in the M&A market. The environment has presented a number of challenges notably in the two areas of deal execution approvals and securing financing. Given a more opaque outlook, transactions are certainly taking longer to complete and escrow solutions have been a strategic enabler in these situations.

"To support our clients, using escrow accounts was pivotal in helping to mitigate timing and counterparty risks and to protect their funds, providing adequate risk and execution frameworks. Indeed, the transactions highlighted here show that in 2022 risk mitigation has become a greater concern for our clients with cross border growth strategies.

Our Issuer Services proposition is designed to do just that: to support and enhance the corporate strategies of leading global companies and financial institutions at all times, including in times of volatility." Jamie Bartlett, Regional Head of Escrow, HSBC EMEA & Americas

"As the world continues to evolve post-pandemic, a growing number of clients are coming to HSBC to facilitate their M&A transactions with solutions such as escrows. Our global footprint puts us in a strong position to help clients meet their cross-border objectives and achieve their wider growth ambitions.

Given our renown, in-depth expertise of the Asian market, our clients trust us to provide local solutions such as our Remittance Agent offering, which is an established offering dedicated to the Indian market and has recently been expanded into China.

We were named “Best in Escrow, Asia” by The Asset Triple A Sustainable Investing Awards, for three consecutive years since 2020 when they introduced this award category, which is testament to the strength and relevance of our offering in the region.

This recognition combined with the continued support provided to clients throughout the year also demonstrates the resilience of our business model in times where macro challenges persist."

Abhishek Agarwal, Head of Issuer Services, Hong Kong

Our clients’ strategic cross-border ambitions

Did you know?

HSBC was named HSBC was named “Best in Escrow Agency” by The Asset, Triple A Asset Servicing Awards 2020, 2021 and 2022.

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