Feb 18 (Reuters) - Citigroup announced the sale of its former Russian subsidiary, AO Citibank, to Renaissance Capital on Wednesday, marking the lender's exit from operations in the country. (Reporting
Citigroup exits Russia, closer to completing strategic divestitures
By Tatiana Bautzer
Feb 18 (Reuters) - Citigroup announced on Wednesday the sale of its former Russian subsidiary to Renaissance Capital, a transaction already approved by regulators and which completes Citi’s full exit from the country.
Citigroup shares opened higher and were up 2.4% in morning trade.
In the first quarter of 2026, the bank's capital will rise by $4 billion as a result of the transfer of risk-weighted assets to the buyer, reduction in disallowed deferred tax assets and the release of associated currency translation adjustment loss.
While a benefit in the first quarter of 2026, the cumulative impact of the previously reported $1.6 billion currency loss is regulatory capital neutral to Citi, the bank said in a statement.
Wells Fargo bank analyst Mike Mayo said in a note to clients the Russia exit increases completion of the international divestiture plan, now depending on additional stake sales in the Mexican business. Mayo said the exit reinforces his call that the bank will exit its consent order this year. The Russia sale was expected for the spring but came "on the earlier side", he added.
(Reporting by Pritam Biswas in Bengaluru and Tatiana Bautzer in New York; Editing by Mrigank Dhaniwala, Toby Chopra and Chizu Nomiyama )
