HIGHLIGHTS
In a major rebranding exercise, Citibank has removed the signboard from its iconic Kanak building office in Kolkata's Chowringhee Road. This happened right after the acquisition of India’s oldest foreign lenders' consumer business by Axis Bank in 2021, reported Moneycontrol.
In 1902, Citibank started its India operations for the first time in the said Kolkata office. With the rebranding in place, a few Citi branches across India will show both Citi and Axis branding, while in other places Axis will replace Citi entirely.
The rebranding process has started now and the merger will take effect on March 1, 2023 as per the agreement structure, Moneycontrol quoted sources as saying.
“The existing Citi signboard at the Kanak building office will be replaced by both Citi and Axis branding. But in some branches, they have completely replaced Citi with Axis Bank,’’ said the Citi official.
Citibank told Moneycontrol that the bank's decision to change signage is based on logic as the entire transition of consumer banking branches is already underway. "There is no change or impact to services at any of our branches because of this change; also, customers have been informed well in advance," says Citi bank's reply.
Furthermore, the bank stated that both banks are completely committed to a smooth transition for clients and that we have assured them of this in previous communications. "Citi will continue to offer its corporate, commercial and investment banking business, as well as treasury and trade solutions to clients through its dedicated branches for the same," said Citi bank.
In 2021, Citi announced that it would cease consumer and retail operations in 13 nations in Asia and Europe, including India. Australia, Bahrain, China, Indonesia, Korea, Malaysia, the Philippines, Poland, Russia, Taiwan, Thailand, and Vietnam.
The decision came as a shock to customers, employees, and even a few competitors of the bank in India.
“None of us still have a clue why this decision was taken. Personally, I think it doesn’t make sense, especially for a major market like India where the existing retail portfolio is doing well,” Moneycontrol quoted a former Citi official as saying.
In its deal with Axis Bank, Citigroup has announced plans to sell its consumer banking division, which includes credit cards, retail banking, wealth management, and consumer loans.
The transaction also comprises the sale of Citicorp Finance (India) Limited's consumer business, which includes the portfolio of personal loans as well as commercial vehicle and construction equipment loans.
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