Citigroup to sell India consumer business to Axis Bank for $1.6 bn

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

Citigroup Inc said on Wednesday it would sell its Indian consumer businesses to private lender Axis Bank for $1.6 billion, as the US bank exits retail operations in 13 markets, reported Reuters.

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 transaction also includes the sale of the consumer business of Citi’s non-banking financial company, Citicorp Finance (India) Ltd., comprising the asset-backed financing business.

The sale excludes Citi's institutional client businesses in India, it said in a filing. Citigroup-Axis deal