Citi has completed the sale of its entire stake in Nikko Asset Management to The Sumitomo Trust and Banking Co., Ltd. as part of a transaction that values Nikko AM at 120 billion (US$1.3 billion at an exchange rate of 89.60 to US$1.00 as of September 30, 2009).
Citi received all-cash consideration of 75.6 billion (US$844 million), after certain deal related expenses and adjustments, for its 64% beneficial ownership interest in Nikko AM. Sumitomo Trust also acquired the beneficial ownership interests in Nikko AM held by various minority investors in Nikko AM, bringing Sumitomo Trusts total ownership stake in Nikko AM to 98.55% at closing.
As previously announced, the transaction is not expected to have a material impact on Citis net income.
D.C.