HSBC, CIC in talks on 1 billion pounds fund to invest in Britain

FILE PHOTO: A HSBC and a Barclays bank building is seen at Canary Wharf in London, Britain May 17, 2017. REUTERS/Stefan Wermuth/File Photo

LONDON (Reuters) - HSBC HSBA.L and China Investment Corp are in talks to create a fund for the Chinese sovereign wealth fund to invest in companies in Britain that have business links with China, HSBC said on Thursday.

The fund would be managed by London-based Charterhouse Capital Partners, which is in talks with CIC and HSBC, the British bank said.

The three “are in exclusive discussions to create a fund to invest in high-quality and growing UK companies with development opportunities in China,” HSBC said.

The Financial Times earlier reported the fund could be worth 1 billion pounds.

CIC has set up similarly structured funds elsewhere in the world, including in the United States with Goldman Sachs GS.N and in Japan with Nomura.

Reporting By Lawrence White. Editing by Jane Merriman