HSBC Buys Citibank China Consumer Banking & Wealth Business with $3.6 Billion Assets, Citi Announced to Exit 14 Markets in 2021 Including Already Selling Taiwan, Indonesia, Malaysia, Thailand & Vietnam Consumer Businesses to DBS, UOB & National Australia Bank
10th October 2023 | Hong Kong
HSBC is buying Citibank China consumer banking & wealth business with $3.6 billion assets, with Citi announcing to exit 13 markets in 2021 including already selling Taiwan, Indonesia, Malaysia, Thailand & Vietnam consumer businesses to DBS, UOB & National Australia Bank. Citi: “Citi today announced that it has agreed to sell its onshore consumer wealth portfolio in China, including clients, assets under management (AUM) and deposits to HSBC Bank China. HSBC plans to extend offers to in-scope employees supporting Citi’s local consumer wealth business in China. The transaction covers total deposits and investment AUMs of approximately US$3.6 billion. Terms of the transaction were not disclosed, and the deal is expected to close in the first half of 2024. This announcement does not include Citi’s institutional businesses in China, where the bank has a leading position. Citi will continue to serve the needs of affluent to ultra-high net worth Chinese individuals through its regional wealth hubs in Singapore and Hong Kong leveraging its International Personal Bank and Citi Private Bank businesses. Citi first opened in China in 1902 and became one of the first global banks to incorporate locally in 2007. Today, Citi serves 70% of Fortune 500 companies in the market, as well as over 300 leading local enterprises and many more emerging new economy companies.” In August 2023, Citi announced the completion of the sale of Citi Taiwan consumer business to DBS (excluding institutional business). Citi had sold Citi Indonesia, Malaysia, Thailand & Vietnam consumer businesses to UOB & National Australia Bank for $4.58 billion. In April 2021, Citi had announced plans to exit 14 retail markets (consumer business) and to focus on 4 key main hubs – London, UAE, Hong Kong and Singapore. The 13 countries are Australia, Bahrain, China, India, Indonesia, South Korea, Malaysia, the Philippines, Poland, Russia, Taiwan, Thailand and Vietnam. Citi has now sold or exited 8 markets including Australia, Bahrain, India, Malaysia, the Philippines, Taiwan, Thailand and Vietnam. Citi: “Citi plans to complete the sale of its Indonesia consumer business later this year. In addition to China, the previously announced wind-downs of Citi’s consumer business in Korea and overall presence in Russia are in progress. Citi also announced that it will pursue an IPO of its consumer, small business and middle market banking operations in Mexico.” More info below.
“ HSBC Buys Citibank China Consumer Banking & Wealth Business with $3.6 Billion Assets, Citi Announced to Exit 14 Markets in 2021 Including Already Selling Taiwan, Indonesia, Malaysia, Thailand & Vietnam Consumer Businesses to DBS, UOB & National Australia Bank “
Titi Cole, Citi’s Head of Legacy Franchises: “We are taking important steps forward in exiting our consumer banking business in China and continue to make progress in our divestitures as part of our strategy to simplify Citi. This is an excellent outcome for our local consumer wealth colleagues and clients in China.”
Christine Lam, Citi China Country Officer and President of Citibank (China): “This transaction serves the interest of our clients, colleagues and all parties involved. Citi is proud to have a long history in China. We are deeply rooted in this market. We look forward to continuing to support our institutional clients in China as their preeminent banking partner for cross-border needs.”
HSBC to Acquire Citibank China Consumer Banking Business with $3 Billion Assets, Announced to Exit 13 Markets in 2021 Including Already Selling Taiwan, Indonesia, Malaysia, Thailand & Vietnam Consumer Businesses to DBS, UOB & National Australia Bank
29th September 2023 – HSBC has been reported to be acquiring Citibank China consumer banking business with $3 billion assets, with Citi announcing to exit 13 markets in 2021 including already selling Taiwan, Indonesia, Malaysia, Thailand & Vietnam consumer businesses to DBS, UOB & National Australia Bank. In August 2023, Citi announced the completion of the sale of Citi Taiwan consumer business to DBS (excluding institutional business). Citi had sold Citi Indonesia, Malaysia, Thailand & Vietnam consumer businesses to UOB & National Australia Bank for $4.58 billion. In April 2021, Citi had announced plans to exit 13 retail markets (consumer business) and to focus on 4 key main hubs – London, UAE, Hong Kong and Singapore. The 13 countries are Australia, Bahrain, China, India, Indonesia, South Korea, Malaysia, the Philippines, Poland, Russia, Taiwan, Thailand and Vietnam. More info below.
Citi Completes Sale of Taiwan Consumer Business to DBS Excluding Institutional Business, Announced to Exit 13 Markets in 2021 Including Already Selling Indonesia, Malaysia, Thailand & Vietnam Consumer Businesses to UOB & National Australia Bank for $4.58 Billion
15th August 2023 | Hong Kong
Citi, one of the world’s largest bank and often referred to as Citibank, has announced the completion of the sale of Citi Taiwan consumer business to DBS (excluding institutional business), having announced to exit 13 markets in 2021 including already sold Citi Indonesia, Malaysia, Thailand & Vietnam consumer businesses to UOB & National Australia Bank for $4.58 billion. In April 2021, Citi had announced plans to exit 13 retail markets (consumer business) and to focus on 4 key main hubs – London, UAE, Hong Kong and Singapore. The 13 countries are Australia, Bahrain, China, India, Indonesia, South Korea, Malaysia, the Philippines, Poland, Russia, Taiwan, Thailand and Vietnam. More info below.
Peter Babej, Citi Asia Pacific CEO: “As we conclude the sale of our consumer business in Taiwan, we remain committed to growing our market-leading institutional franchise and supporting clients in the market and across the region through our global network.”
Titi Cole, Citi Legacy Franchises CEO: “We are sincerely grateful to our former employees for their steadfast commitment to clients and are confident that they’ll have a great future with DBS. We have made significant progress in executing Citi’s strategy, and completing this transaction is another important step forward in simplifying the firm.”
Citi Completes Sale of Taiwan Consumer Business to DBS Excluding Institutional Business
- Citi Completes Sale of Taiwan Consumer Businesses to DB
14th August 2023 – Citi announced today it has successfully completed the sale and full migration of its Taiwan consumer businesses to DBS. The sale, which was announced in January 2022, includes retail banking, credit card, mortgage and unsecured lending businesses, as well as the transfer of close to 3,000 employees. The transaction is expected to result in a regulatory capital benefit of approximately US$1.2 billion.
Citi’s institutional client businesses in Taiwan are excluded from the sale, and Citi remains focused on serving institutional clients in Taiwan locally, regionally and globally. Since announcing its intention to exit consumer banking across 14 markets in Asia, Europe, the Middle East and Mexico as part of its strategic refresh, Citi has signed sales agreements in nine markets and has now closed sales in eight of those markets including Australia, Bahrain, India, Malaysia, the Philippines, Thailand and Vietnam, in addition to Taiwan. Citi plans to complete the sale of its Indonesia consumer business later this year. The previously announced wind-downs of Citi’s consumer business in China and Korea and overall presence in Russia are in progress. Citi also announced that it will pursue an IPO of its consumer, small business and middle market banking operations in Mexico, and that it intends to restart the exit process for the consumer banking business in Poland later in 2023, subject to market conditions.
Singapore UOB Bank to Retain 90% of Citigroup Consumer Business Employees in Southeast Asia after Merger, UOB Acquired Citi Consumer Business with 5.3 Million Retail Clients in Indonesia, Malaysia, Thailand & Vietnam for $3.7 Billion in 2022 January
12th May 2023 – Singapore UOB Bank will be retaining 90% of Citigroup consumer business employees in Southeast Asia after merger of Citi businesses. In 2022 January, UOB had acquired Citi consumer business with 5.3 million retail clients in Indonesia, Malaysia, Thailand & Vietnam for $3.7 billion. In April 2021, Citi had announced plans to exit 13 retail markets (consumer business) and to focus on 4 key main hubs – London, UAE, Hong Kong and Singapore. The 13 countries are Australia, Bahrain, China, India, Indonesia, South Korea, Malaysia, the Philippines, Poland, Russia, Taiwan, Thailand and Vietnam.
Jacquelyn Tan, Head of Group Personal Financial Services, UOB: “Our transformative decision to acquire Citigroup’s consumer businesses in four ASEAN markets during the pandemic has proven to be very timely, positioning us well as consumer spending returns with a vengeance following the reopening of economies worldwide post-COVID.
As consumers look for the best in dining, travel and retail at home and abroad, our unparalleled regional network, further boosted by this transformational deal, enables UOB to serve their unique lifestyle needs and preferences across ASEAN. Coupled with our partnerships with renowned brands domestically, regionally as well as globally, we offer the best deals, privileges and perks to customers for all that they love.”
Singapore UOB Bank to Retain 90% of Citigroup Consumer Business Employees in Southeast Asia after Merger
UOB 11th May 2023 – UOB’s acquisition of Citigroup’s consumer banking businesses in four key ASEAN markets has significantly boosted its retail banking business, and paved the way for its enlarged base of customers in the region to enjoy even more perks and privileges suited to their unique lifestyles and needs via partnerships with renowned domestic and global brands.
The completion of UOB’s acquisition of Citigroup’s consumer banking businesses in Malaysia, Thailand and Vietnam has already brought its regional retail customer count to over seven million as of 31 March 2023, with the latest completion of the Vietnam acquisition enabling the Bank to serve about 200,000 customers in the country. With the completion of the acquisition in Indonesia by end 2023, these four markets are expected to provide a S$1 billion boost to the Bank’s revenue on a full-year basis. The acquisition has also built stronger resilience in the business model with both geographical and revenue mix diversification. With Citigroup’s portfolio more geared towards cards business and unsecured lending, net credit card fees for the Bank almost doubled year-on-year in the first quarter of 2023, with Citigroup’s portfolio contributing a quarter of this, and total income from the Bank’s unsecured business is expected to almost double by end 2023. Separately, loans and deposits also grew almost 10 per cent and 15 per cent in the first quarter of 2023 compared with a year before.
For the first quarter of 2023, ASEAN-4 (i.e. Malaysia, Thailand, Indonesia and Vietnam) accounted for more than 35 per cent of the Bank’s Group Personal Financial Services income. UOB’s network of branches in Malaysia, Thailand and Vietnam has also expanded by 15 as of March 2023.
About UOB
UOB is a leading bank in Asia. Operating through its head office in Singapore and banking subsidiaries in China, Indonesia, Malaysia, Thailand and Vietnam, UOB has a global network of around 500 offices in 19 countries and territories in Asia Pacific, Europe and North America. Since its incorporation in 1935, UOB has grown organically and through a series of strategic acquisitions. Today, UOB is rated among the world’s top banks: Aa1 by Moody’s Investors Service and AA- by both S&P Global Ratings and Fitch Ratings.
Citi Exits 13 Markets, Sells Citi Australia Consumer Bank to National Australia Bank for $881 Million
Citi, one of the world’s largest bank and often referred to as Citibank, has announced the sale of Citi’s Australia consumer bank to National Australia Bank (NAB) for $881 million. Citi Australia consumer business includes A$7.9 billion of residential mortgages, A$9.0 billion of deposits, $4.3 billion of unsecured lending and around 800 Citi employees. Citi Australia’s institutional business is not included in the sale and the transaction is expected to occur by March 2022. In April 2021, Citi had announced plans to exit 13 retail markets (consumer business) and to focus on 4 key main hubs – London, UAE, Hong Kong and Singapore. The 13 countries are Australia, Bahrain, China, India, Indonesia, South Korea, Malaysia, the Philippines, Poland, Russia, Taiwan, Thailand and Vietnam. (AUDUSD ~ 0.7349) Read: Citi Exits 13 Markets
Citi Australia Institutional Business Remains
Citi Australia’s institutional business provides a comprehensive range of investment and banking services to approximately 1500 corporates, banks, governments and institutional investors in Australia, as well as clients offshore. Services include capital markets and corporate advisory, markets and securities services, commercial banking and treasury and trade solutions.
Citi Australia Consumer Bank Sale
National Australia Bank (NAB) was selected following an auction process to acquire Citi’s consumer business, which includes credit cards, loans, retail banking, mortgages and wealth management solutions for high net worth individuals. The bank is also a credit card provider for some of Australia’s leading brands including BOQ, Coles, Kogan, PayPal, Qantas, Suncorp and Virgin Money.
NAB will not be acquiring all of the technology systems or platforms that currently service these portfolios. NAB will enter into a Transitional Services Agreement (TSA) with Citigroup to assist with the integration of the Citigroup business into NAB. The TSA is expected to be in place for approximately 30 months. During this period, NAB will invest in a new technology platform to support the combined unsecured lending business.
Jane Fraser, Citi CEO:
“This is a positive outcome for our clients, our colleagues and for Citi. As this transaction shows, we are moving forward with urgency as we refresh our strategy and execute the decisions we have already made as part of that effort. We are focusing our resources on businesses where we have scale and competitive advantages in order to deliver growth and improved returns over time
In addition to serving our Wealth clients through four global hubs, we will continue to serve our institutional clients in Australia, as we have for nearly a century, and across the greater Asia Pacific region. We are very pleased with the economics of the transaction and we will use the capital generated to invest in our strategic priorities, as well as to continue to return capital to our shareholders.”
NAB CEO, Ross McEwan:
“The proposed acquisition of the Citigroup Consumer Business brings scale and deep expertise in unsecured lending, particularly credit cards, which continue to be an important way for customers to make payments and manage their cashflows. The cards and payments sector is rapidly evolving and access to a greater share of payments and transaction data will help drive product and service innovation across our Personal Banking business and deliver market leading customer experiences.
Citigroup’s management team has also built strong white label partnerships with household names in the airline, retail and financial services sectors over many years. This expertise, together with our commitment to deliver market leading products and services, provides an opportunity to grow with existing partners and add new partners.”
Sign Up / Register
Caproasia Users
- Manage $20 million to $3 billion of assets
- Invest $3 million to $300 million
- Advise institutions, billionaires, UHNWs & HNWs
Caproasia Platforms | 11,000 Investors & Advisors
- Caproasia.com
- Caproasia Access
- Caproasia Events
- The Financial Centre | Find Services
- Membership
- Family Office Circle
- Professional Investor Circle
- Investor Relations Network
Monthly Roundtable & Networking
Family Office Programs
The 2025 Investment Day
- March - Hong Kong
- March - Singapore
- July - Hong Kong
- July - Singapore
- Sept- Hong Kong
- Sept - Singapore
- Oct- Hong Kong
- Nov - Singapore
- Visit: The Investment Day | Register: Click here
Caproasia Summits
- The Institutional Investor Summit
- The Investment / Alternatives Summit
- The Private Wealth Summit
- The Family Office Summit
- The CEO & Entrepreneur Summit
- The Capital Markets Summit
- The ESG / Sustainable Investment Summit
