HSBC Subsidiary Acquisition

HSBC Hldgs PLC
2 April 2001


         HSBC ACQUIRES SPANISH RETAIL STOCKBROKER


HSBC Bank plc Sucursal en Espana has agreed to acquire the
entire issued share capital of Intermediarios Financieros,
Agencia de Valores y Bolsa, S.A., a Spanish retail
stockbroking company, for a consideration of Spanish Pesetas
1,230 million (US$ 6.8 million).

Intermediarios Financieros, Agencia de Valores y Bolsa, S.A,
is based in Valencia and has 11,000 customers, 18 staff and
offers domestic retail stock brokerage services. On
completion, HSBC intends to change the name of the acquired
company to HSBC Intermediarios (Espana) AVB, S.A. The
transaction is subject to regulatory approval.

Jaime Galobart Chief Executive Officer of HSBC Bank in Spain
and Group Country Manager said: 'This investment reinforces
HSBC's presence in Spain. We are building on our existing
successful fund and portfolio management business and adding
a wider range of wealth management services for our
clients.'

This acquisition will allow HSBC to offer brokerage services
to retail investors in Spain, where HSBC Bank plc Sucursal
en Espana is present in Madrid, Barcelona, Bilbao and
Valencia. Customers of HSBC Intermediarios (Espana) AVB,
S.A. will also benefit from the HSBC Group's international
stockbroking capabilities provided by HSBC Investment Bank
plc, Spain, which already offers wholesale stockbroking
services and corporate finance and advisory services to
institutions and corporate clients.

HSBC Intermediarios will join HSBC Fund Management (Espana) 
S.G.I.I.C., S.A. as key contributors to HSBC's wealth 
management business in Spain.

HSBC Fund Management was ranked the second best fund manager
in equity and balanced international funds by the Spanish
magazine Ranking in March 2001. A group of its managed funds
have obtained the highest ratings by Standard & Poor's and
have won various awards from the leading Spanish financial
newspaper, Expansion.

HSBC also offers to its clients in Spain a wide range of
services in corporate banking, treasury and capital
markets, custody, global payments, and trade services.

Note to editors

HSBC Holdings plc
Headquartered in London, and with some 6,500 offices in 79
countries and territories and assets of US$674 billion at 31
December 2000, the HSBC Group is one of the world's largest
banking and financial services organisations.