Axis Bank is at an advanced stage to buying Citigroup's India retail banking business in a deal that could be valued at about $2.5bn, Bloomberg has reported.
An agreement for the consumer unit may be announced as soon as the next few weeks and is contingent on approval from the Reserve Bank of India, people familiar with the matter said.
Bloomberg further said that Axis Bank emerged as the buyer after beating rivals, with factors such as job security for current Citigroup employees and competition concerns being taken into account, one source said.
Last year, Citi announced plans to wrap up its consumer franchises in 13 markets across Asia and Europe, including India.
The US-headquartered giant plans to refocus on its more lucrative businesses such as institutional banking and wealth management. Citi's Indian business comprises credit cards, home loans and retail banking.
Mumbai-based Axis Bank is looking to boost retail loans to tap pent-up demand following the pandemic.
