Citigroup to Repurchase HK$1.06 Billion of Lehman Notes
Saturday, July 9, 2011
Citigroup Inc. agreed to repurchase HK$1.06 billion ($136 million) of notes linked to Lehman Brothers Holdings Inc. in Hong Kong, according to a statement from the Hong Kong Securities and Futures Commission today.
Citigroup’s offer covers about 92 percent of customers holding the outstanding notes, it said. The bank will pay 80 percent of the value of each customer’s investment, according to the statement.
The offer from Citigroup came after Standard Chartered Plc in March agreed to repurchase HK$1.48 billion of structured notes linked to Lehman. The proposals, along with a settlement agreement approved in May, may help end discontent that led investors to hold almost daily protests outside bank branches in Hong Kong.
“Citibank is making this offer in the best interests of our clients without admitting any liability,” James Griffiths, a Citigroup spokesman for the bank in Asia Pacific, said in the e-mailed statement.
Hong Kong investors in notes tied to Lehman approved on May 20 a settlement agreement proposed by Lehman’s receiver PricewaterhouseCoopers LLP that would return as much as 96.5 percent of their original investment. About 43,000 Hong Kong investors had bought an estimated $1.8 billion of so-called minibonds from lenders.
Citigroup is repurchasing market-linked notes and equity- linked notes that are different from the minibonds that were sold by some banks in Hong Kong.
Labels: Citibank Pakistan, citigroup, Lehman Brothers Holding Inc. Hong Kong
posted @ 12:00 PM,
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BankIslami Has Acquire Citibank Pakistan’s House Financing Portfolio
Tuesday, December 28, 2010
BankIslami has signed a first-of-its-kind deal to acquire Citibank Pakistan’s house financing portfolio amounting to Rs953 million. This is the first time an Islamic bank has acquired mortgage assets of a conventional bank.
“This acquisition will serve as a milestone for the Islamic banking industry in Pakistan and elsewhere,” said BankIslami CEO Hasan Bilgrami. He added that the acquisition of the housing portfolio is in line with BankIslami’s growth strategy in this segment.
Citibank’s house finance customers will now be required to switch to the Islamic mode of financing. “The transition for customers to BankIslami will be made easy and convenient,” said the CEO. Despite a general slowdown in the banking industry, BankIslami has expanded to 100 branches in less than three years.
A compound annual growth rate of 72 per cent over the last two years has made it one of the fastest growing banks in the country.
Labels: BankIslami, Banks, Citibank Pakistan, Commercial Banks
posted @ 5:13 PM,
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