HSBC share price: Lender poaches Matthew Westerman from Goldman Sachs

on Feb 24, 2016
Updated: Oct 21, 2019
Listen

HSBC Holdings Plc (LON:HSBA) has hired Matthew Westerman from Goldman Sachs, to become co-head of banking at its investment banking division, International Financing Review has reported. The appointment is part of an ongoing shake up of the unit’s structure.

According to the report, HSBC sent an internal memo to staff, saying that Westerman would join the unit in the “coming weeks” and work alongside Robin Phillips, the other co-head of global banking. Goldman Sachs also informed its staff about Westerman’s departure, IFR said. Westermanhas been at the US bank for 16 years, with his most recent role being chairman of the investment banking division for Europe, Middle East and Africa.

The HSBC memo also said that its head of capital financing, Spencer Lake, has been appointed to become vice chairman of Global Business and Markets. His new role would involve working on strategic initiatives such as leading its work on the internationalisation of China’s renminbi, infrastructure and sustainable financing.
Last June HSBC unveiled a plan to cut costs and simplify its operations in order to strengthen its balance sheet and boost profitability. As part of this plan, the lender said that it would shrink its investment banking unit by a third.
In today’s trading, HSBC shares were 1.6 percent down at 434.24p, as 12:59 GMT. The stock has fallen just over 19 percent since the start of the year and the company’s market capitalisation currently stands at £87.1 billion.
As of February 23, 2016, the consensus forecast amongst 27 polled investment analysts covering HSBC had it that investors should hold their position in the company. The same consensus estimate has been maintained since January 20, 2016, when the sentiment of investment analysts deteriorated from “outperform”.
As of 14:44 GMT, Wednesday, 24 February, HSBC Holdings plc share price is 435.70p.