“It has been eight or nine months since the announcement. This is a process which will take time, but every start needs an ending,” Finance Minister Clyde Caruana stated on Tuesday (today), addressing growing uncertainty surrounding the future of HSBC Bank Malta.
“In the interest of shareholders, workers, the economy, and businesses, it is a process that needs its time – but it can’t go on forever,” he added. “I hope that from HSBC’s side the bank does what it needs to do in a reasonable time frame, so that everyone proceeds in their own way. It’s not a process that can be done in a day. It is a process that takes months, but these months cannot become years.”
Minister Caruana’s comments follow Thursday night’s surprise development that APS Bank has pulled out of the race to acquire HSBC Bank Malta, a move that has raised further questions about who will ultimately take over the international bank’s local operations.
HSBC first announced in September 2024 that it was considering a sale of its Malta arm. Within days, APS had emerged as the leading contender. On 26th March 2025, the local bank confirmed that it had entered the due diligence phase, a key step in evaluating the potential acquisition.
However, on 17th April, APS issued a statement saying it was “regrettably withdrawing” from the bidding process. No further reason was publicly given, though market speculation has been rife.
With APS now out of the picture, attention has turned to other potential buyers. Hungarian financial giant OTP Bank has emerged as a strong contender, although its participation has sparked concern due to its continued operations in Russia following the invasion of Ukraine.
Separately, a group of prominent local businesses are reported to have banded together to submit a collective bid, with some foreign investors also believed to be part of the ongoing talks.
The eventual outcome will significantly shape the future of Malta’s financial landscape – and with the Finance Minister calling for reasonable but timely closure, the spotlight is now firmly on HSBC to chart its course forward.
