Citi sells card business in UK

MANILA, Philippines - Citi has completed the sale of its Citi Cards portfolio in the UK, part of CitiFinancial Europe Plc, to CCAM, a special purpose vehicle (SPAV) managed by SAV Credit, a UK credit card issuer, and backed by Verde Partners, an investment manager specializing in alternative investments.

The transaction, comprising total assets of approximately $1.25 billion, represents the majority of receivables in the portfolio. This transaction does not impact Egg, the Citibank retail banking network in the UK, or commercial cards clients of Citi’s Global Transaction Services business.

The sale of this card portfolio will reduce the assets in Citi Holdings in “an economically rational manner while working to generate long-term profitability and growth from Citicorp, which comprises its core franchise.” This transaction follows several other divestitures in Europe in the past six months and demonstrates Citi’s strong focus on reducing assets in Citi Holdings.