Denmark-based Saxo Bank, headquartered in Copenhagen, announced plans to close its offices in Hong Kong and Shanghai. It will also scale back operations in Tokyo, according to Nikkei Asia. The decision to exit Hong Kong and shut the Shanghai office will affect approximately 10 staff members. This strategic move follows a review due to concerns over the sluggish Chinese economy and its diminishing prospects in Asia. Despite backing from Chinese auto group Geely, the European investment bank is focusing on core business areas.
S&P upgraded Saxo Bank’s rating to A- from BBB, reflecting its strong financial position. To enhance operational efficiency, the Saxo Bank Group is restructuring its distribution model in the Asia-Pacific region. It recognized EUR 6 million in restructuring costs. This includes the ongoing closure of the Shanghai office and an evaluation of opportunities in Japan and Australia. The restructuring has resulted in total costs of DKK 44 million, impacting staff and administrative expenses. Adjusted net profit reached DKK 508 million, as stated in Saxo Bank’s Interim Report for the first half of 2024.
Saxo has declined to provide additional comments on the restructuring. Vera Lau, Communications and PR Manager for Saxo Singapore & Hong Kong, mentioned that she is unfortunately unable to share further details at this time but will inform us if anything changes.
