DUBAI: HSBC Bank Oman HBOM.OM has agreed to sell its banking business in Pakistan to Meezan Bank, a Shariah-compliant Pakistani lender, it said.

The deal, which is subject to regulatory and other approvals, is expected to be completed during the second half of 2015, the bank said in a statement.

The business had one branch and gross assets of around $40 million as of March 31, it said.

The sale, at a small discount to the net asset value of the business, will not materially impact the full-year profits of HSBC Bank Oman, it said.

The bank is an indirect 51 percent-owned subsidiary of HSBC Holdings.