Citigroup considering divesting units across retail banking in the Asia-Pacific region
Citigroup Inc is considering divesting some international consumer units. The discussions are around divesting units across retail banking in the Asia-Pacific region, a report said.
"Many different options are being considered and we will take the right amount of time before making any decisions." a Citigroup spokesperson told.
The move, part of Fraser's attempt to simplify the bank, can see units in South Korea, Thailand, the Philippines and Australia being divested. However, no decision has been made, according to the report. Revenue from Citi's consumer banking business in Asia declined 15% to $1.55 billion in the fourth quarter of 2020.
The divestitures could be spaced out over time or the bank could end up keeping all of its existing units the report said. The firm is also reviewing consumer operations in Mexico, though a sale there is less likely, the report said, citing one of the people.
Last month, New York-based Citigroup beat profit estimates but issued a gloomy forecast for expenses. Finance head Mark Mason said the lender's expenses could rise in 2021 in the range of 2% to 3%, weighing on its operating margins.