Citi to sell India consumer business to Axis Bank for $1.6 billion

Citigroup Inc is selling its Indian consumer banking businesses to private lender Axis Bank for $1.6 billion.

New Delhi: Citigroup Inc said on Wednesday it would sell its Indian consumer banking businesses to private lender Axis Bank for $1.6 billion, as the U.S. bank exits retail operations in 13 markets.

The deal will include the transfer of about 3,600 Citi employees to Axis, and Citi expects the release of about $800 million of allocated tangible common equity after the deal.

The sale excludes Citi`s institutional client businesses in India, it said in a filing. Also Read: RAMP Scheme: Cabinet approves Rs 6062.45 crore for new programme to bolster MSMEs

The deal is part of Citi CEO Jane Fraser`s plan to revamp the lender by exiting retail banking operations in 13 countries and focusing on its more lucrative institutional and wealth management businesses. Also Read: PM KISAN eKYC deadline extended till 22 May 2022: Details here