Citigroup plans to exit Venezuela by selling its remaining business there, ending more than a century of operating in the South American country.
The New York-based firm agreed to sell the unit to Banco Nacional de Credito, has already obtained regulatory approval and expects to complete the deal in coming weeks, the companies said Monday in a statement.
Citigroup set up branches in Venezuela in 1917 to provide financial services to international companies lured into the oil-rich region. The bank has stuck it out through political turmoil and US sanctions, serving both retail customers and institutional businesses in the country. A few years ago, dealings with the nation’s central bank left Citigroup facing the prospect of having to sell gold that had been posted as collateral for a swap agreement.
The firm has fewer than 100 employees there, and they will be given the opportunity of staying on with BNC, according to people familiar with the matter, who asked not to be named discussing confidential information. A decade ago, Citigroup’s website showed it had about 700 people there.
Read Also
- AIRE by Bahía Principe Residences will be built in Playa Nueva Romana. May 27, 2022
- World Cup 2022: Benzema “disappointed”, Varane “available”, and Qatar’s missed start… Relive Sunday with us Nov 21, 2022
- Smarth Delivery is trending again Sep 3, 2021
- University, what you need to know to pass the Medicine test Jul 16, 2021
- Trail: Baptiste Chassagne dreams of winning the SaintéLyon, his “heart race” Nov 24, 2022
- I suspect that he claimed to have a bomb near the Capitol surrenders to authorities Aug 19, 2021
- A quantum computer managed in 36 microseconds to do what a classical computer would take almost 9,000 years Jun 1, 2022
“Citi is committed to Latin America and will maintain a strong presence in the region,” Ernesto Torres Cantu, who oversees Citigroup’s business across Latin America, said in the statement.
BNC operates roughly 120 offices, six regional bureaus and a branch in Curacao. The firm will use the acquisition from Citigroup to offer products to Venezuelan companies and multinational corporations, according to the statement.
“BNC is committed to supporting Citi’s clients in Venezuela who will continue receiving high-quality financial services while benefiting from the advantages of an expanding local bank with a skilled professional team and a modern technological platform,” BNC Chief Executive Jorge Nogueroles said in the statement .