Citigroup Pursues $3 Billion IPO for Mexican Subsidiary

Citigroup is moving forward with plans to sell a significant stake in its Mexican subsidiary Grupo Financiero Banamex through an initial public offering (IPO). The bank aims to raise more than $3 billion from the sale, according to a report.

The IPO will involve Bank of America, Goldman Sachs Group, and JPMorgan Chase as participating banks. Citigroup and Banamex are targeting a listing in January, but details may change as talks continue with other potential investors.

Citigroup had previously sold a 25% stake in Banamex to local billionaire Fernando Chico Pardo for approximately $2.3 billion last year. Further smaller stake sales are still possible before the IPO, and banks are assessing how much of Citigroup's remaining holdings can be sold.