HSBC Re: Offer for EBB Shares

HSBC Hldgs PLC
12 October 2000

HSBC ANNOUNCES INCREASED SHAREHOLDING IN EGYPTIAN BRITISH
                          BANK

HSBC's offer to purchase additional shares in Egyptian
British Bank S.A.E. (EBB) has been accepted in respect of 1,006,616
EBB shares which will take HSBC's shareholding from
794,336 EBB shares to 1,800,952 shares, or from
approximately 40 per cent to approximately 90 per cent of
EBB's issued share capital.

The total consideration to be paid by HSBC for the
additional shares purchased is EGP503.3 million
(approximately US138.6 million).

Abdel Salam El Anwar, an Executive Director of HSBC Bank
Middle East and Managing Director of Egyptian British Bank,
said: 'This is an emphatic result in favour of the offer.
HSBC's increased stake in EBB will enable us to move
confidently ahead with our plans to develop business in
Egypt and to substantially reinforce HSBC's participation in
this market.'

The offer was launched on 3 October and closed on 11
October. Subject to the receipt of formal regulatory
approval the transaction will complete on 25 October.