SMBC officially buys Nikko Citi units for $7.9 billion

By Dan Slater | 4 May 2009
Keywords: smbc | citigroup | nikko
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Citi sells off its Japanese domestic securities arm to boost its capital, but keeps the global arm.

In one of the most significant deals of the year for the Japanese securities sector, Citigroup has offloaded its Japanese retail securities unit as well as part of its wholesale operations to a Japanese mega-bank for ¥774.5 billion ($7.9 billion). The deal with Sumitomo Mitsui Banking Corporation (SMBC) was confirmed on Friday evening after being leaked to the media earlier in the week.

The total consideration is made up of ¥545 billion ($5.5 billion) for the target's assets and ¥201 billion in cash, which is held by Nikko Cordial Securities and will ...

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March 2010