Citi Sells Consumer Banking Business in China to HSBC, Continuing Global Simplification Efforts
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Citi sells its consumer wealth business in China to HSBC as part of its strategy to exit certain international markets.
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The sale includes $3.6 billion in deposits and investment assets under management. HSBC plans to extend job offers to some of Citi's 1,200 employees in China.
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This sale is part of CEO Jane Fraser's plan to simplify Citi operations and improve profitability by exiting 14 consumer banking units globally.
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Citi has closed 8 of those units so far including Australia, Malaysia, India, and Taiwan. It plans to exit Indonesia by end of 2023.
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The consumer banking exit is part of a larger reorganization at Citi into 5 separate businesses, which will likely reduce headcount further. Citi laid off 5,000 employees in the first half of 2023.