ABM rules out AMLO intervention in Banamex sale

Association of Banks of Mexico (PRO) discarded that President Andres Manuel Lopez Obrador affect in progress purchase and sale of Citibanamex and it is expected that its listing on the stock market will be completed in the second half of 2025.

“It is that if there was an intervention or there was a situation from the side of the president (López Obrador) in all of this, the truth is that we see it as completely independent events“, confirmed Julio Carranza, president of ABM.

The Mexican bankers’ statements came days after López Obrador intervened in more than 120 kilometers of railways to Grupo Méxicoowned by Herman Larrea, who was one of the last two potential buyers of US Citigroup’s retail business.

Citi has announced from January 2022 that it will sell part of its business in Mexico.while it will retain its large corporate portfolio as well as sell off some of its cultural heritage and its consumer portfolio.

This Wednesday morning, the firm announced that it would be postponing negotiations between individuals and determined that the sale of Banamex would be carried out through the stock market via initial public offering (IPO).

You may be interested > Citibanamex sale took longer than expected: Citigroup

Turn Banamex into a state-owned bank

Also this Wednesday, López Obrador expressed interest in convert Banamex to a state bankafter other banks could not compete, such as: Inbursa, Banco Azteca, Banorte, Santander and Mifel, although the latter has not determined whether it remains in any bid for the relevant shares.

Regarding this possibility, Carranza, also president of Bancoppel, indicated that there is still no analysis of the impact of becoming a state-owned bank, but he confirmed that ” the government will have to assess its own risks“.

In addition, the ABM president announced that the final deal for Banamex could take place in the second half of 2025, with Citigroup announcing a stock market listing without It will also not determine whether it will do so on the Mexican Stock Exchange or the New York Stock Exchange.in USA.

You may be interested > Banamex purchase falls through due to rail dispute: Reuters sources

“We are fully aware that this will be a different process that certainly started some time ago at Citi and that it will end, as they themselves have indicated, in the second half of 2025, when they expect a decision will be made between two banks, with which they will continue to work in Mexico.” (EFE)

Source: Aristegui Noticias

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