HSBC Holdings PLC is in talks to sell its Brazilian consumer finance unit, O Estado de S. Paulo reported Thursday.
According to the newspaper, which cited an unnamed person close to the talks, HSBC has hired J.P. Morgan to coordinate the sale of the Losango unit.
Banco do Brasil, Banco Itau Unibanco, Bradesco and Banco Santander are interested in the unit, according to the report.
Losango has a credit portfolio worth 3 billion Brazilian reais ($1.7 billion). HSBC acquired Losango eight years ago from Lloyds Bank for around $815 million.
HSBC is planning to sell its stake in Losango in order to focus in areas in Brazil and South America where it is more competitive, such as investment and commercial banking operations, said the report.
Earlier this month, HSBC agreed to sell its retail banking operations in Chile to Itau-Unibanco while retaining its investment and commercial banking activities in Chile.
