Citigroup to buy banking license from Deutsche Bank in Mexico for wholesale unit By Reuters
Economy 18 minutes ago (Nov 09, 2022 15:59)
© Reuters. FILE PHOTO: People walk beneath a Citibank branch logo in the financial district of San Francisco, California July 17, 2009. REUTERS/Robert Galbraith/File Photo
NEW YORK (Reuters) – Citigroup Inc (NYSE:C) said on Tuesday it would purchase Deutsche Bank (ETR:DBKGn)’s Mexican banking license in order to continue Citigroup’s corporate and investment banking operation in the country, following the planned sale of its local retail unit.
Financial details were not disclosed, and Deutsche Bank said it would continue to grow and invest in Mexico through its broker dealer business there.
“The acquisition of this license, which is subject to the receipt of all regulatory approvals, facilitates the pursuit of our consumer exit and ability to continue our institutional operations in Mexico,” Citi said in a statement to Reuters.
Citi Chief Executive Jane Fraser announced the Mexican retail unit was up for sale at the beginning of the year, and a buyer is expected to be named by the end of 2022 or beginning of 2023.
Mexican corporate titans Carlos Slim and German Larrea are the top bidders for the unit, valued anywhere between $7 billion and $12 billion, sources told Reuters.
The purchase of Deutsche Bank’s license allows Citi to sidestep the lengthy process of independently applying for its own, once the split is complete.
The retail operation will become known as Banco Nacional de Mexico, or Banamex, while the wholesale unit will be called Citi Mexico, Citi’s country chief said in September.
Deutsche Bank said it would still do business in Mexico.
“Deutsche Bank is committed to deliver our global emerging markets platform to all of our client base through our Mexico broker dealer entity,” the bank said.
(This story has been refiled to change headline, paragraph 1 to clarify type of license being purchased)
Citigroup to buy banking license from Deutsche Bank in Mexico for wholesale unit
By Alistair Smout LYDD, England (Reuters) -Britain is stepping up its support for Ukrainian soldiers through the winter as a key battle in Kherson looms and as mobilised Russian…
By Saqib Iqbal Ahmed NEW YORK (Reuters) – The dollar advanced against several major currencies on Wednesday, as results so far for the midterm elections showed little evidence of…
By Joice Alves LONDON (Reuters) – UK companies are trading at hefty discounts of about 40% to global peers but have further to fall, say investors weighing the risks posed by a…
Terms And Conditions
© 2007-2022 Fusion Media Limited. All Rights Reserved.
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.