Mexican commercial bank Grupo Financiero Banamex-Accival also known as Banacci, said today it has agreed to integrate with the global operations of banking-insurance giant Citigroup.
In the $12.5 billion cash and stock deal, Banacci shareholders will get $6.25 billion in cash and Citigroup shares worth $6.25 billion, based on Citigroup's $49.26 closing price on May 11th.
The deal, which Citigroup said it expects to close in the fourth quarter, will integrate Banacci and Citigroup under the Banamex brand name. The transaction has been approved by the companies' respective boards and is subject to regulatory approvals.