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Citigroup Continues Divesting Consumer Banking Business

Citigroup Continues Divesting Consumer Banking Business

New York, NY – Citigroup Inc. has said it will further “streamline its international operations” by divesting itself of its consumer banking business in Spain.

The sale of Citigroup’s Spanish business to Madrid-based Banco Popular includes $3.2 billion in assets under management, GAAP assets of nearly $2 billion along with $2 billion in loans and $2.8 billion in deposits.

More than 1.2 million customer accounts, 45 branches and ATMs as well as roughly 950 employees will be transferred to Banco Popular.

Citigroup said, however, it will continue to operate its Spanish investment and corporate-banking units.

The sale is part of the bank’s previously announced strategy to relieve itself of the non-core assets of Citi Holdings. The company has been shedding distressed assets from its Citi Holdings unit to drive earnings.

In April, Citigroup announced the sale of its consumer banking business in Honduras to Banco Financiera Comercial Hondurena SA, a subsidiary of Grupo Financiero Ficohsa.

Similar moves were undertaken by the company last year as well with the divestiture of retail banking operations in Uruguay to Brazil-based Itau Unibanco Holding SA and consumer banking unit in Turkey to DenizBank, the Turkish unit of Russia-based Sberbank Rossii.