HSBC Holdings Plc, Europe’s largest bank by market value, agreed to sell its Panama unit to Bancolombia SA for $2.1 billion as chief executive officer Stuart Gulliver tries to revive profit by targeting fewer markets.

The cash price for Panama’s second-biggest bank is three times the unit’s net asset value of $700 million, HSBC said Tuesday in a statement. The London-based lender acquired most of its Panamanian operations when it bought Grupo Banistmo SA for $1.77 billion in 2006.