(MENAFN- AFP) Global banking giant HSBC is mulling a possible flotation of its British division, the Financial Times reported on Monday, citing people familiar with the matter.

The Asia-focused lender has approached investors in recently weeks to establish whether they would support the sale of a "sizeable stake" in the British arm, the daily paper added.

HSBC's British arm could float with a total stock market capitalisation of around £20 billion ($33 billion, 23 billion euros), in a move that would help address new regulatory demands for banks to ring-fence their retail banking operations.