Oversea-Chinese Banking Corporation ( OCBC ), through its Indonesian subsidiary, has agreed to acquire assets and liabilities of HSBC’s retail banking and wealth management business in Indonesia, expanding its footprint in Southeast Asia’s largest economy.

The Singaporean lender did not state the total consideration for the deal, but said it will be calculated based on the net asset value of IWPB ( international wealth and premier banking ) Indonesia at completion, plus a premium of up to S$0.48 billion ( US$370 million ).

The deal will add 336,000 customers and S$6.6 billion, or US$5.16 billion, in assets under management ( AUM ) to PT Bank OCBC NISP ( OCBC Indonesia ). The total AUM to be transferred includes S$4.3 billion of customers’ investments in mutual funds, bonds, and insurance, as well as S$2.3 billion in deposits. A small customer retail loan book of S$0.3 billion will also be transferred.

Excluding one‑off costs, the transaction will be earnings-accretive to OCBC upon completion, expected in the second quarter of 2027.

“This acquisition in Indonesia fits well into our Next Frontier strategy under the Franchise Shift of building up our Indonesia franchise,” says OCBC group chief executive officer Tan Teck Long, who assumed the top post on January 1, 2026. “It follows our successful 2024 acquisition and integration of PT Bank Commonwealth Indonesia, in further expanding our market penetration in Southeast Asia's largest economy. Indonesia is a long-term commitment, and a key growth market.”

IWPB Indonesia is one of the largest foreign-owned retail banking and wealth management platforms in Indonesia. According to OCBC Indonesia, IWPB Indonesia’s customer base is highly complementary to its franchise, giving it considerable scope to grow its wealth business.

Upon completion of the transaction, it is expected to increase OCBC Indonesia’s AUM by 25% and grow its credit card balances by more than 150%. It will also add about 1,300 staff.  

OCBC says the acquisition reinforces its wealth management capabilities to deliver a “whole‑of‑wealth” proposition, as part of the larger integrated financial services group, which comprises private banking under Bank of Singapore and insurance under Great Eastern.

The transaction is internally funded by OCBC Indonesia and is not expected to have any material impact on the bank’s net tangible assets, earnings per share, and capital.