Citigroup expansion in China can take place without sale share, Asia CEO claims

26 August 2010

Citigroup has enough capital resources to expand its presence in China without resorting to selling shares, the chief executive officer (CEO) for the Asia-Pacific region has claimed.

According to Stephen Bird, CEO of the unit, Citigroup’s Asian business has no plans to apply for a listing on Shanghai’s international board, which has yet to be launched.

The firm currently has the resources to invest at a faster rate than at any previous stage in its history, the CEO explained.

He was quoted by MarketWatch as saying: "We actually don't need to raise any capital from listing here in Shanghai. We want to continue to own all of it because we feel a great confidence in its financial future, so we don't have plans and we don't have a need to raise capital in order to invest."

Andrew Au, chairman at Citibank China, added that the unit anticipates opening a further ten outlets on top of the 29 it already has in the territory.

During the last three years Citi Asia has earned $15 billion and $45 billion in revenue.

By Jim Ottewill

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