Blackstone to acquire HSBC’s A$30B Australian loan book in landmark private credit deal

Blackstone’s private credit arm has emerged as the preferred buyer for HSBC’s Australian loan portfolio, a book of business valued at roughly A$26 billion to A$30 billion. That’s approximately $17 billion to $20 billion USD, making it one of the most significant private credit acquisitions of a traditional bank’s consumer lending assets in recent memory. The portfolio is composed primarily of performing prime mortgages and credit card receivables from HSBC’s retail banking operations in Australia. How we got here HSBC’s decision to offload its Australian loan book stems from a strategic review launched in 2025, aimed at streamlining the bank’s global operations and freeing up capital. Earlier plans to fully divest HSBC’s Australian retail business were revisited in early 2026, when the bank pivoted toward separating its loan book from its deposit base rather than selling the entire operation outright. The sale process picked up speed through preliminary auctions and indicative bids submitted around early 2026. Blackstone emerged from that process in the leading position. Citi is advising HSBC on the transaction, while Morgan Stanley is working on Blackstone’s side of the table. The...