HSBC Asset Management is adding energy transition infrastructure boutique Green Transition Partners to its alternatives business lineup.
Details of the "business transfer agreement" — which brings employees and certain assets of Hong Kong-based GTP to the consolidated alternatives business division HSBC set up in 2021 — were not disclosed.
GTP, a specialist asset manager investing in green energy infrastructure such as "storage, grids, charging and hydrogen infrastructure" across Asia, launched in 2021 but its team has been working together for more than five years, according to a spokeswoman for HSBC.
Spokesmen for HSBC and GTP declined to say whether GTP currently has any assets under management.
Likewise, both sides declined to say what, if any, equity interest GTP executives will retain following the business transfer agreement. However, Paul Rhodes, GTP's managing partner, said in a LinkedIn message that arrangements have been put in place to ensure both parties are aligned for the success of the business.
The combination of GTP and HSBC's existing business across the region will give HSBC Alternatives the "scale, reach and capabilities to provide some of the capital required to support the transition to net-zero" in what will likely prove the world's biggest market for energy transition infrastructure investments, Daisy Ho, HSBC Asset Management's Asia-Pacific CEO, said in a news release.
HSBC Alternatives had combined assets under management and advice of $52 billion as of Sept. 30, according to the news release.