Weekly Global News Wrap: Grupo Mexico closing in on $7b Citi Banamex deal; Bank of America opens Luxembourg branch
And Credit Suisse CEO to join UBS board once deal is completed.
Grupo Mexico is reportedly set to buy Citigroup’s retail banking operations in Mexico for $7b, according to a person familiar with the matter.
The deal could be announced as early as this week, the source said.
Citi will retain a roughly 10% stake in the Banamex unit, the source added.
Both Citi and Grupo Mexico declined to comment.
Credit Suisse CEO Ulrich Koerner will join the executive board of the new UBS-Credit Suisse entity once the sale is completed.
In the same announcement by UBS, the Swiss banking giant said the legal close of the acquisition is expected within the next few weeks, and the combined entity will operate as a “consolidated banking group.”
Bank of America has hired former BNP Paribas banker Benoit Nevouet to be the manager of a newly created Luxembourg branch.
The opening of a branch in the small but wealthy country will mean Bank of America can help clients such as investment funds with local bank accounts and other services, said Matthew Davies, head of the U.S. lender’s global transaction services unit for Europe, Middle East and Africa.