Sun Hung Kai Financial (“SHKF”) has closed the acquisition of 100% of UK specialist brokerage and research firm North Square Blue Oak Limited (“NSBO”), following strategic cooperation between the two parties that started in early 2016 and with approval from UK regulators. Subsequently, NSBO has been renamed Sun Hung Kai Financial (UK) Ltd (“SHKF (UK)”). Through the acquisition, SHKF will now have the ability to conduct institutional brokerage, specialist research and corporate finance businesses in the UK.
Established in 2003 and headquartered in London with an office in Beijing, SHKF (UK) is a member of the London Stock Exchange. SHKF (UK) provides services to leading global institutional investors in financial centres including those in Europe and the United States, as well as Hong Kong and Singapore. The firm is specialised in serving large and medium-sized institutional clients whose AUM amounts to over US$2 billion each. In addition to its signature products including China’s macro policy research, it offers specialist equity execution trading services that cover the markets in Europe, Asia and the United States. Since January 2016, SHKF and SHKF (UK) have been engaged in wide-ranging business exchanges and collaboration in the sharing of research products, transaction services, customer and project referrals, and exchange of staff. As part of Everbright Securities/ SHKF, SHKF (UK)’s clients will benefit from enhanced China research and execution capabilities, increased dealflow, and an even better proximity to the global macroeconomic themes that drive their investment decisions.
The Hong Kong and Shanghai dual-listed Everbright Securities Company Limited (“Everbright Securities”) is the major shareholder of SHKF. The acquisition not only expands Everbright Securities’ business to the European markets, but also further develops its international sales and transaction networks and enlarges its global customer base. The deal is a strategic move in Everbright Securities’ internationalisation. With the transaction completed, SHKF and SHKF (UK) are set to have the depth and breadth of their business cooperation enhanced further, by which they can join forces to provide their domestic and foreign customers with trading services of financial products, and corporate finance, asset management and other integrated financial services.