UOB Malaysia and Citi Malaysia today have received regulatory approval by Bank Negara Malaysia for UOB’s acquisition of Citi’s consumer banking business in Malaysia.
Following the approval, UOB Malaysia and Citi Malaysia will apply for a Vesting Order from the High Court of Malaya to transfer Citi’s consumer banking assets and liabilities to UOB Malaysia. The transaction is expected to be completed by the fourth quarter of 2022.
UOB and Citigroup announced the proposed transaction on 14 January 2022. Upon completion of the transaction, all of Citi Malaysia’s retail banking and consumer credit card business will be transferred to UOB Malaysia. All related Citi Malaysia consumer bank employees and its supporting employees are also expected to transfer to UOB Malaysia.
CEO of UOB Malaysia Ng Wei Wei said, “We greatly appreciate Bank Negara Malaysia’s approval for the acquisition. For over 70 years, UOB has been part of Malaysia’s growth journey, and this acquisition further underscores our confidence in the country’s long-term potential. Citi’s consumer business in Malaysia, as well as in other markets of Thailand, Indonesia and Vietnam enhances UOB’s regional franchise, which will benefit all UOB customers, providing them with greater connectivity and higher brand recognition.
“The acquisition will also scale up our retail business with an expanded portfolio and partner ecosystem. It further strengthens UOB Malaysia’s outreach to customers through a wider network of branches and digital touchpoints. We look forward to welcoming Citi colleagues to the UOB family. Together, we will create long-term value for our enlarged customer base in Malaysia.”
Usman Ahmed, CEO of Citi Malaysia, said, “On behalf of Citi, I would like to express our deep gratitude to Bank Negara Malaysia for granting its approval for Citi to sell its Consumer Banking business to UOB. We will continue to seamlessly serve our Consumer customers until the remaining part of the sale process is completed and will communicate on the date for the legal transfer in due course. Citi remains deeply committed to Malaysia and we will invest further in our market leading institutional clients franchise to help our Malaysian clients grow in the Country and abroad.”
Citi assures its consumer banking business and wealth customers that the transition to UOB will be smooth and that they will continue to benefit from services and products similar to those they currently enjoy from Citi.