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Citi may sell $2b stake in HDFC Bank

World's biggest lender Citigroup may sell its stake worth $2 billion in the country's leading mortgage lender HDFC, a media report said. “The bank's German operation has already been put up for sale… and it is understood Citi may also sell its $2 billion stake in Indian bank HDFC,” the report said.

Battered by billions of dollars of losses from the sub-prime crisis, Citi has embarked on a major restructuring drive led by its India-born chief executive Vikram Pandit. Recently, various reports said the world's biggest bank is gearing up for an aggressive round of layoffs, with plans to cut 6,500 jobs from its investment banking business.

Vikram Pandit in a recent memo to employees had asked them to transform the “best financial institution” into the world's top-most company. The firm posted a loss to the tune of $15 billion in the past two quarters and is expected to see further billions of dollars of sub-prime crisis related write-downs.

Source: Economic Times

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