HSBC in Talks to Buy Controlling Stake in South Africa's Nedbank

British bank HSBC (HBC) is in talks to buy a controlling stake in Nedbank, South Africa's fourth-largest bank.

HSBC is in talks with insurer Old Mutual, which currently owns the stake, BBC News reported. HSBC is aiming to acquire as much as 70% of Nedbank in a deal worth as much as 49.9 billion rand ($6.8 billion).

HSBC is aiming to expand its emerging market business, including its existing presence in South Africa. In the first six months of the year, HSBC posted pre-tax profits of $11.1 billion. The only unprofitable region was North America, where HSBC saw losses of $80 million.

Nedbank described HSBC as "an attractive international banking partner."