MUMBAI (Thomson Financial) - Financial services major Citigroup Inc. may
restructure the back-office operations it has outsourced to India, valued at
around $1 billion, in a bid to cut costs and monetise some of these assets, the
Economic Times reported.
The captive BPO, Citigroup Global Services, as well as its technology and
infrastructure outsourcing arm, Citos, "are on the block," the paper said.
The deal, if concluded, is expected to be close to $800 million, the paper
added.
The U.S.-based financial services major is said to be close to finalising
the deal with IBM Global Services, which is the lead contender for the assets.
Other contenders are European consulting and IT services major Capgemini and
India-based Tata Consultancy Services.
The paper said both IBM and Citi spokespeople refused to comment.
On May 15, Citi India's chief executive officer Sanjay Nayar had denied
reports that the company's non-banking financial division would exit from some
of its unsecured lending businesses.
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