Citigroup in talks to buy Deutsche Bank Mexico

Thursday 26 May 2022 11:13 CET | News

Citigroup has announced it is weighing a deal to buy Deutsche Bank AG’s Mexican bank amid plans to set up a new local unit as it exits retail operations in the country.

Talks for the German bank’s Mexican operations are in their early stages and may not result in a deal, according to Bloomberg. Any sale would require regulatory approval and Deutsche Bank would keep the brokerage it relaunched in the country earlier in 2022.

Citigroup said the company has begun the sales process for its consumer, small-business, and middle-market banking divisions in Mexico, though an initial public offering remains on the table. A deal with Deutsche Bank would make it easier for Citi to continue offering services to large corporations and wealthy clients after the sale.

Obtaining a banking licence in Mexico can take years, and the country’s banking regulator has been hobbled by an exodus of experienced officials during President Andres Manuel Lopez Obrador’s administration.

Deutsche Bank had been winding down its Mexico operations since 2015, when it decided to pull out of 10 countries. Two years of talks to sell its operations to Mexico’s InvestaBank fell apart in late 2018 amid a dispute over the price and after a top shareholder in InvestaBank was convicted in the US of tax fraud. 

More: Link

Free Headlines in your E-mail

Every day we send out a free e-mail with the most important headlines of the last 24 hours.

Subscribe now

Keywords: banks, acquisition, banking license, regulation, IPO
Categories: Banking & Fintech
Companies: Citi, Deutsche Bank
Countries: Mexico
This article is part of category

Banking & Fintech



Deutsche Bank

Discover all the Company news on Citi and other articles related to Citi in The Paypers News, Reports, and insights on the payments and fintech industry: