Citigroup to sell China consumer wealth business to HSBC

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Citigroup said on Monday (Oct 10) it had agreed to sell its China consumer wealth portfolio, including clients, assets under management (AUM) and deposits, to Asia-focused HSBC Holdings Plc. The deal covers total deposits and investment AUMs of about US$3.6 billion, and is expected to close in the first ha

FILE PHOTO: The logo for Citibank is seen on the trading floor at the New York Stock Exchange in Manhattan, New York City, U.S., August 3, 2021. REUTERS/Andrew Kelly/File PhotoCitigroup said on Monday it had agreed to sell its China consumer wealth portfolio, including clients, assets under management and deposits, to Asia-focused HSBC Holdings Plc.

Citi first announced its plan to exit China consumer banking in April 2021 as part of a global strategy revamp. The consumer banking business mainly served rich clients with deposit, fund and structured product offerings. The acquisition of Citi's wealth portfolio will help HSBC expand its presence in China, one of its key markets as Europe's largest lender vows to exit less profitable geographies to focus on its key revenue generator, Asia.

 

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