© Reuters. FILE PHOTO: The brand of Citibanamex is pictured at a financial institution department in Mexico Metropolis, Mexico January 13, 2022. REUTERS/Gustavo Graf
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By Anthony Esposito
ACAPULCO, Mexico (Reuters) -Citigroup’s retail unit in Mexico, generally known as Citibanamex, has mentioned it hopes to outline the phrases of its sale in April, amid indicators of intensifying curiosity within the financial institution, anticipated by analysts to fetch between $4 billion and $8 billion.
Citi nation head Manuel Romo instructed reporters on Wednesday the unit would open its “knowledge room” subsequent month to these it thinks meet the required necessities to launch a bid for the financial institution, which Citi chief government Jane Fraser introduced on the market in January.
“We’re doing this in a well timed and applicable method,” Romo mentioned in a press convention forward of the nation’s annual banking conference, which is going down in Acapulco for the primary time because the coronavirus pandemic hit.
Earlier this week, Mexican financial institution Banorte mentioned that, if it determined to go ahead with a bid, it will invite “all Mexicans” to participate within the buy.
Mexican President Andres Manuel Lopez Obrador has mentioned he needs to see buyers “Mexicanize” the financial institution.
On Thursday, Lopez Obrador mentioned he “won’t put up any obstacles” to the sale however underscored that his desire could be for the financial institution to be in Mexican fingers.
Lopez Obrador has talked about a number of Mexican magnates, resembling Ricardo Salinas, who controls Banco Azteca, and Carlos Hank Gonzalez of Banorte as potential consumers.
In February, Romo mentioned that Citibanamex may very well be offered straight or by an preliminary public providing, however that the financial institution wasn’t open to promoting it piecemeal.
He mentioned the sale, which might take as much as two years, had acquired curiosity from banks and non-banks, each native and overseas.
Analysts have priced Citibanamex from $4 billion to $8 billion, although Citi, which acquired the financial institution for $12.5 billion in 2001, has but to place a price ticket on it.
Paco Ybarra, chief government officer of the Institutional Shoppers Group at Citi, will steer the sale from New York, Romo mentioned Wednesday.
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