RBC Acquires HSBC’s Domestic Unit for $10bn: Monopoly Concerns Addressed?

Royal Bank of Canada (RBC) has received approval from the Canada Competition Bureau for its acquisition of HSBC’s domestic unit for C$13.5bn ($10bn).

The acquisition of HSBC is expected to strengthen RBC’s position in one of the world’s most concentrated banking markets, where the top six lenders control about 80% of banking assets.

However, the bureau mentioned that the deal will result in less competition between Canada’s largest and seventh-largest banks.