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Citi Closes Sale of 25% of Banamex to Fernando Chico Pardo

The move advances Citi’s plan to exit retail banking in Mexico via a potential IPO subject to market conditions.

Overview

  • Mexican financial and competition regulators cleared the deal, and the sale has formally closed.
  • Fernando Chico Pardo immediately became chairman of Grupo Financiero Banamex after acquiring the stake through a family-owned company.
  • The stake represents about 520 million shares valued at roughly 42 billion pesos, or about US$2.3 billion, at 0.80 times local book value.
  • Citi said the step furthers its divestment strategy while it concentrates on its institutional business in Mexico.
  • Operational leadership remains in place, with Manuel Romo continuing as CEO and Ignacio Deschamps staying as chairman of Banco Nacional de México.