HSBC Wins Saudi Regional HQ Licence For Investment Banking Arm  

The new entity, HSBC Capital RHQ, will allow the bank to consolidate and further scale its investment banking operations in the Kingdom, following a strategic review completed earlier this year in which HSBC committed to deeper investment in its Middle East equity capital markets and M&A activity.

Saudi Minister of Investment Khalid Al-Falih said the RHQ approval reflects the Kingdom’s success in attracting global financial institutions. “Welcoming HSBC’s regional investment banking operations to Riyadh reinforces Saudi Arabia’s position as a leading destination for major international firms,” he said.

HSBC executives described the move as a natural next step in the bank’s long-standing relationship with the Kingdom.

Adam Bagshaw, Global Head of Capital Markets and Advisory, said the bank is doubling down on areas where it sees strong competitive advantage. “Establishing a regional headquarters in Riyadh consolidates our expertise at the heart of one of the most dynamic regions in the world. It reflects our commitment to supporting clients as they grow, both domestically and internationally,” he noted.

HSBC boosts Saudi investment operations

The RHQ licence follows HSBC’s decision to base its regional investment banking leadership jointly across the UAE and Saudi Arabia. Mohammed Fannouch, appointed Co-Head of Capital Markets and Advisory for MENAT earlier this year, now sits in Riyadh alongside long-time co-head Samer Deghaili in the UAE. The bank says this dual-hub structure enhances its ability to serve clients across the region.

Faris AlGhannam, currently CEO and board member of HSBC Saudi Arabia, will also serve as CEO of the new RHQ. He said Saudi Arabia’s deepening capital markets ecosystem makes it a natural home for regional investment banking leadership. “With the formation of our Capital Markets and Advisory RHQ, we will be at the forefront of contributing to the Kingdom’s economic transformation ambitions,” he said.

HSBC is already the largest investment bank in the Middle East, acting on the majority of jumbo IPOs in recent years and leading regional equity and debt league tables for four consecutive years. The bank has advised on landmark transactions including the Aramco IPO, Aramco’s secondary offering, Elm’s acquisition of Thiqah, and several high-profile listings on the Saudi Exchange.

The group has been active in Saudi Arabia for more than 70 years and remains a major employer of Saudi nationals across its shareholdings in Saudi Awwal Bank and HSBC Saudi Arabia.

The RHQ announcement follows the bank’s expansion into new offices in Riyadh’s King Abdullah Financial District in 2024.