Lloyds Banking Group said Wednesday it would sell a large chunk of its international private banking division to Union Bancaire Privée, the latest in a series of disposals by the part-government owned bank aimed at simplifying its business and strengthening its capital base.

The Swiss private bank will pay up to £100m ($150.4m) in cash for Lloyds' loss-making business, which has branches based in Geneva, Monaco and Zurich, the two banks said. The deal is still subject to regulatory approval, but the majority of the Lloyds division-which caters to wealthy clients-is expected to be sold in the second half of 2013, with the remainder hived off in the first quarter of 2014.