Oct 9 Reuters Citigroup Inc said on Monday it had agreed to sell its China consumer wealth portfolio, including clients, assets under management AUM and deposits, to Asiafocused HSBC Holdings Plc.

The deal covers total deposits and investment AUMs of about 3.6 billion, and is expected to close in the first half of 2024. Financial details of the transaction were not disclosed.

Today39;s announcement progresses the winddown of Citi39;s consumer banking business in China, which was announced in December 2022, the U.S.headquartered bank said in a statement.

Citi first announced its plan to exit China consumer banking in April 2021 as part of a global strategy revamp. The consumer banking business mainly served rich clients with deposit, fund and structured product offerings.

Reuters first reported late last month that HSBC was set to acquire Citi39;s China consumer wealth business, in a major boost to the Londonbased bank39;s business in the world39;s secondlargest economy.

Citi39;s consumer banking business size in China is dwarfed by Chinese banks and foreign peers including Standard Chartered, all which have more retail branches handling wealth management.

The acquisition of Citi39;s wealth portfolio will help HSBC expand its presence in China, one of its key markets as Europe39;s largest lender vows to exit less profitable geographies to focus on its key revenue generator, Asia.

Based on the regulatory approvals it obtained in recent years, HSBC can now provide…