Overview
- Citi formally notified Grupo México that it declined its offer to buy up to 100% of Banamex after reviewing financial terms and deal certainty.
- Citi will sell 25% of Banamex to Mexican investor Fernando Chico Pardo and pursue an initial public offering for the remaining shares.
- The 25% transaction requires Mexican regulatory approvals, and filings tied to the Chico Pardo deal are moving through review.
- Grupo México said it lamented the decision but would respect it, asserting its proposal offered a higher price, better conditions and full Mexican ownership.
- Grupo México’s shares dropped about 15% after its bid became public earlier in the week, with trading later recovering part of the loss following Citi’s announcement.