Axis Bank likely to bag Citi’s India retail business

Axis Bank has arisen as the strong competitor to acquire Citibank India’s retail assets, three individuals with knowledge on the matter told CNBC-TV18 on the state of anonymity as the deal has not been made public at this point.

The deal could be an all-cash transaction, with a valuation of around $2 billion including incentives, according to individuals aware of everything. Axis Bank is probably going to sign an exclusivity agreement with Citi for the deal very soon, CNBC-TV18 has learnt.

Kotak Mahindra Bank and IndusInd Bank were the other two players who had been in the competition to acquire Citi’s India retail business, yet Axis Bank emerged as the strong contender.

“Kotak Mahindra Bank was generally expected to be the strong contender, yet Axis Bank came with better offer,” said an individual directly in the know. This individual indicated the deal could be valued at around $2 billion, yet didn’t give out the specific details.

CNBC-TV18 contacted both Axis Bank and Citi India for a comment on the story. In an emailed response to the query, Citi India’s representative said, “We continue on moving ahead with our cycle as for our India consumer business sale in accordance with our broader strategic refresh.”