Citigroup considering listing on Tokyo bourse

Tokyo, Feb 19: Citigroup said on Monday it was considering listing on the Tokyo Stock Exchange as part of its efforts to expand in Japan.

Last month, the U.S. financial conglomerate announced plans to form a Japanese holding company and double its retail branch network in the country.

Listing on the Tokyo bourse would allow it to make acquisitions more easily, opening another route to growth in the world's No.2 economy.

''Citigroup is committed to Japan for the long term and has been reviewing its business strategies which could include listing Citigroup on the TSE,'' the bank said in a statement.

It said nothing had been decided.

Citigroup was responding to a report on Sunday in the Nikkei business daily that quoted an unnamed Citigroup executive as saying the bank had started preparations to list its deposit receipts (DRs) on the TSE.

The listing, which would allow investors in Japan to buy and sell Citigroup shares indirectly, was expected later this year, the Nikkei said.

Citigroup is seen as a top candidate to buy Japan's Nikko Cordial Corp. if the TSE decides next month to revoke the scandal-hit brokerage's share listing.

The bourse is considering whether to delist Nikko, Japan's third-largest brokerage, over accounting problems at its merchant banking unit.

Citigroup owns about 5 percent of Nikko and the two companies share an investment banking joint venture, Nikko Citigroup.

Reuters