Shearman And Sterling

News Sep 17, 2014

Shearman & Sterling Represents Underwriters in Connection with HSBC Holdings plc's US$3.75 Billion Inaugural Contingent Convertible Securities Offering

Shearman & Sterling represented the underwriters (led by HSBC Securities (USA) Inc.) in connection with HSBC Holdings plc’s inaugural contingent convertible securities offering, comprising an offering of US$1.5 billion aggregate principal amount of 5.625% perpetual subordinated contingent convertible securities (callable January 2020 and every five years thereafter) and US$2.25 billion aggregate principal amount of 6.375% perpetual subordinated contingent convertible securities (callable September 2024 and every five years thereafter). The securities qualify as additional Tier 1 capital instruments under bank regulatory capital rules.

HSBC Holdings plc, the parent company of the HSBC Group, is headquartered in London. HSBC Group serves customers worldwide from approximately 6,200 offices in 74 countries and territories in Europe, Asia, the Middle East and North Africa, North America and Latin America. HSBC is one of the world’s largest banking and financial services organizations, serving some 52 million customers.

The Shearman & Sterling team of lawyers in the firm's London and Washington, DC offices included Capital Markets partner Richard Price and associates Jonathan Handyside and Ana Stefanovic Grbec. Associate Anna Doyle advised on UK Financial Institutions Regulatory aspects of the offering, and partner Kristen Garry, counsel Simon Letherman, and associates Mary Jo Lang and Jack Prytherch advised on Tax aspects of the offering. Partners Robert Evans III and Russell Sacks and associate Jennifer Morton also assisted on the transaction.