Bank of Valletta confirmed on Tuesday that it had been approached to be a part of a consortium which would buy out HSBC Bank Malta.

In a company announcement on the Malta Stock Exchange, BOV said that it was not surprised that it had been approached.

“As one of Malta’s leading financial institutions, it is unsurprising that the Bank has been approached by third-parties expressing interest in prospective financial bids concerning other major business entities in Malta, including HSBC Bank (Malta) p.l.c,” it said.

“The Bank will continue to monitor developments closely and remains committed to ensuring transparency and full compliance with its regulatory obligations, including those related to competition, financial stability and avoidance of conflict of interest, whilst maintaining its duty of care to its shareholders,” it added.

BOV said that any decision it may take in the future “will only be formulated in close coordination and cooperation with all relevant regulatory authorities and following the full extent of its due governance processes.”

The Bank said it has no further comments and any communication that it issues to the market would be carried out through official channels and company announcements.

HSBC’s operations in Malta have been up for sale for the last few months, with bidders being widely speculated.

APS Bank was initially among the cohort of bidders, but it said that it had withdrawn itself from the bidding after it received confidential information external to the due diligence process which made it immediately pull out of the deal.

German fintech powerhouse RS2 has also formally entered the race to acquire HSBC Malta, positioning itself as a serious contender and pledging to revive the Mid-Med Bank brand, and Hungarian bank OTP was also among the initial list of bidders but is thought to have been discarded as an option.