UOB to acquire Citi Vietnam retail banking business next year

By Tuong Thuy
Tue, November 1, 2022 | 4:55 pm GMT+7

Singapore's United Overseas Bank (UOB) said Tuesday it expects to complete the acquisition of Citigroup's consumer banking business in Vietnam and Indonesia next year.

UOB revealed this in an announcement on the completion of its acquisition of Citigroup’s consumer banking businesses in Malaysia and Thailand, which comprise the group's unsecured and secured lending portfolios, wealth management and retail deposit businesses.

 A UOB office in Vietnam. Photo courtesy of the bank.

A UOB office in Vietnam. Photo courtesy of the bank.

The entire deal for Vietnam, Indonesia, Malaysia, and Thailand will be UOB's biggest acquisition in two decades and will double its existing retail customer base to 5.3 million in the four Southeast Asian markets that it already has a substantial presence in and competes with larger rivals, including DBS Group and OCBC, both based in Singapore.

"The acquisition provides us with increased scale and supports our ambition to be the bank of choice for consumers and businesses in Asean," said Wee Ee Cheong, UOB's deputy chairman and CEO.

Meanwhile, Citigroup said the same day that the completed sale of its Malaysia and Thailand retail banking to UOB is expected to result in a regulatory capital benefit of $1 billion.

Both sides did not disclose the total transaction value for the four Asean markets or for each. However, UOB had said in January 2022 that Citigroup had agreed on the entire transaction for about $3.7 billion.

Citigroup's exit from Southeast Asia came after CEO Jane Fraser said in 2021 that the U.S. bank would close retail operations in 13 markets, including 10 in Asia, to refocus on its more lucrative institutional and wealth management businesses.

HSBC announced in May 2021 a strategic plan that includes the divestiture of 90 of its branches, as part of the global bank’s effort to exit the U.S. retail banking business.

Australian lender ANZ sold its Vietnam retail business to South Korea's Shinhan Bank in 2017 to focus resources on institutional banking. The same year, UOB became Singapore’s first bank allowed to set up a fully-owned subsidiary in Vietnam.

Comments (0)
  • Read More
13th Party Central Committee wraps up 12th plenum

13th Party Central Committee wraps up 12th plenum

The two-day 12th plenary session of the 13th Party Central Committee concluded on July 19 afternoon, fulfilling the agenda set out at the start of the meeting.

Politics - Sat, July 19, 2025 | 5:15 pm GMT+7

Vietnam's property major DIC Corp to offer 150 mln shares to shareholders

Vietnam's property major DIC Corp to offer 150 mln shares to shareholders

Development Investment Construction JSC (DIC Corp), among Vietnam's biggest real etate developers, will offer 150 million shares to shareholders at VND12,000 ($0.46) apiece.

Companies - Sat, July 19, 2025 | 4:38 pm GMT+7

Urgent power transmission project inspected to ensure stable supply for Tan Son Nhat Airport

Urgent power transmission project inspected to ensure stable supply for Tan Son Nhat Airport

A working delegation recently inspected the 220kV Tan Son Nhat-Thuan An transmission line project, which powers the Tan Son Nhat International Airport in Ho Chi Minh City.

Companies - Sat, July 19, 2025 | 4:05 pm GMT+7

Over 86 mln bank accounts in Vietnam to be terminated from September 1

Over 86 mln bank accounts in Vietnam to be terminated from September 1

More than 86 million bank accounts that have not been biometrically authenticated or have been 'frozen' for a long time will be deleted starting September 1 to prevent fraud and cybercrime.

Banking - Sat, July 19, 2025 | 12:02 pm GMT+7

Malaysia boosts investment in green technology, digital transformation

Malaysia boosts investment in green technology, digital transformation

Malaysia is unlocking high-impact investments at the intersection of sustainability and digital transformation, a key priority under the MADANI government’s green growth agenda.

Southeast Asia - Sat, July 19, 2025 | 11:59 am GMT+7

Indonesia expands retail network in Asia to boost exports

Indonesia expands retail network in Asia to boost exports

Indonesia has opened 2,400 retail stores in the Philippines and plans to expand into Malaysia, Bangladesh, and other Asian countries, Indonesian Trade Minister Budi Santoso said on Thursday.

Southeast Asia - Sat, July 19, 2025 | 11:57 am GMT+7

Southeast Asia IPO performance in Jan-June

Southeast Asia IPO performance in Jan-June

The first half of 2025 saw a measured rebound in Southeast Asia’s capital markets, underpinned by stabilizing macroeconomic conditions and renewed momentum in larger IPOs, particularly in Malaysia and Indonesia, write Deloitte analysts.

Consulting - Sat, July 19, 2025 | 11:41 am GMT+7

Vietnam's fund management market must be transparent, sustainable to allure investors: experts

Vietnam's fund management market must be transparent, sustainable to allure investors: experts

To spur the growth of Vietnam’s fund management industry, an open, transparent and fair playing field is needed for all participants, experts said at a seminar hosted by The Investor on Thursday.

Finance - Sat, July 19, 2025 | 9:32 am GMT+7

More data center investment to be poured into Vietnam: Cushman & Wakefield

More data center investment to be poured into Vietnam: Cushman & Wakefield

Vietnam is an ideal destination for data center investment and the country is expected to see further interest from international investors, according to consultancy firm Cushman & Wakefield.

Companies - Sat, July 19, 2025 | 9:00 am GMT+7

Vietnam's Ministry of Science and Technology works with Google to explore digital transformation, AI

Vietnam's Ministry of Science and Technology works with Google to explore digital transformation, AI

The Vietnamese Ministry of Science and Technology (MoST) has been working with Google to explore deeper cooperation in digital transformation, AI, and support for small and medium-sized enterprises (SMEs).

Companies - Sat, July 19, 2025 | 12:01 am GMT+7

Thailand hopes for US tariffs at levels comparable to other regional countries

Thailand hopes for US tariffs at levels comparable to other regional countries

Thai Deputy Prime Minister and Minister of Finance Pichai Chunhavajira on Friday expressed his expectation that the U.S.'s final reciprocal tariff rate imposed on Thailand's exports will align closely with other countries in the region, likely settling at approximately 20%.

Southeast Asia - Fri, July 18, 2025 | 11:53 pm GMT+7

Vietnam's central bank to assess compliance of banks in risk management

Vietnam's central bank to assess compliance of banks in risk management

The State Bank of Vietnam (SBV) will deploy monitoring measures and tools to assess the compliance of commercial banks in implementing requirements related to risk management, especially compliance with Basel III international banking standards, an SBV official said on Wednesday.

Banking - Fri, July 18, 2025 | 11:49 pm GMT+7

Malaysia aims to play key role in implementing ASEAN Power Grid

Malaysia aims to play key role in implementing ASEAN Power Grid

Malaysia is expected to assume a key role in the implementation of the ASEAN Power Grid (APG) starting next year, leveraging its strategic advantages to lead the regional initiative aimed at integrating electricity transmission networks across Southeast Asia.

Southeast Asia - Fri, July 18, 2025 | 11:36 pm GMT+7

Tran Duc Thang assigned to be acting Minister of Agriculture and Environment

Tran Duc Thang assigned to be acting Minister of Agriculture and Environment

Vietnam's Prime Minister Pham Minh Chinh has assigned Tran Duc Thang, a Party Central Committee member and standing Deputy Chief Inspector of the Government, to be acting Minister of Agriculture and Environment, starting from Thursday.

Politics - Fri, July 18, 2025 | 11:28 pm GMT+7

Gasoline vehicle market stalls as consumer sentiment wavers

Gasoline vehicle market stalls as consumer sentiment wavers

While the electric vehicle (EV) market is gaining momentum, dealers of gasoline-powered cars and motorbikes, both new and used, in Hanoi are facing a wave of order cancellations, vehicle returns, and even deposit forfeiting.

Companies - Fri, July 18, 2025 | 7:48 pm GMT+7

E10 fuel rollout marks key step in Vietnam’s green energy transition

E10 fuel rollout marks key step in Vietnam’s green energy transition

From January 1, 2026, all gasoline distributed across Vietnam must contain 10% ethanol, marking a pivotal milestone in the country’s shift toward green energy and its long-term carbon neutrality goals.

Companies - Fri, July 18, 2025 | 7:40 pm GMT+7