Citi is exiting Russia via its sale of ‘AO Citibank’ to Renaissance Capital.
Citi officials confirmed last month that they have secured “the internal approvals required to proceed with the planned sale of AO Citibank, which conducts Citi’s remaining operations in Russia, to Renaissance Capital (RenCap).”
Renaissance Capital is an investment bank founded in 1995 in Russia that has an emerging and frontier markets focus, and has offices in Moscow, London, New York, Lagos, Nairobi, Cairo, and Nicosia, officials say.
Since 2021, Citi officials have been scaling back their efforts in Russia. The firm has wound down many services and operations except for essential functions. A final sale was approved by the Russian government in late 2025.
The sale of AO Citibank is” anticipated to be signed and closed in the first half of 2026 and is subject to receipt of regulatory approvals for Citi and satisfaction of other conditions,” officials add.
“The approvals result in a pre-tax loss on sale for the fourth quarter 2025, largely related to the currency translation adjustment (CTA) losses that will also remain in Accumulated Other Comprehensive Income (AOCI) until closing,” according to the Citi announcement. “The cumulative impact of CTA recorded in the loss on sale during the fourth quarter, and the amounts released from AOCI upon closing, would be capital neutral to Citi’s CET1 Capital.”
“The loss on sale is subject to further changes, including as a result of foreign exchange movements. The overall divestiture of the remaining business operations is expected to provide a benefit to Citi’s CET1 Capital, primarily driven by the deconsolidation of associated risk-weighted assets. Full details can be found in the Form 8-K,” Citi officials add.
Need a Reprint?