UOB completes acquisition of Citigroup’s consumer banking business in Vietnam

The UOB branch in Ho Chi Minh City.( Photo:UOB)

HCM City (VNA) – United Overseas Bank Limited (UOB) on March 1 announced the completion of the acquisition of Citigroup’s consumer banking business in Vietnam, which includes the transfer of approximately 575 Citigroup related staff to UOB Vietnam.

The consumer business comprises Citigroup’s unsecured and secured lending portfolios, wealth management and retail deposit businesses.

The acquisition in Vietnam follows completions in Thailand and Malaysia in November 2022. The acquisition of Citigroup’s Indonesian consumer banking business is planned for completion by the end of 2023.

UOB’s acquisitions in the four markets will further strengthen and scale up its franchise in ASEAN. Once completed, the acquisitions are expected to double UOB’s existing retail customer base in the four markets and add 5,000 people to its team strength, according to the bank. 

With the addition of Citigroup’s Malaysia and Thailand franchise, coupled with strong organic acquisition of customers, the group’s retail customer base has already expanded to nearly 7 million across the ASEAN region. The acquired business, together with UOB’s regional franchise, advances UOB’s progress towards being the bank of choice for consumers and businesses in ASEAN. 

Wee Ee Cheong, Deputy Chairman and Chief Executive Officer of UOB, said that they are now one step closer to the full completion of that transformational deal.

“Early results of the acquisition have surpassed our expectations. We look forward to accelerating the expansion of our retail business in Vietnam, which is one of the fastest growing economies in the region. With our expanded network, ecosystem partners and suite of solutions and capabilities, we are well-placed to serve the needs of our enlarged customer base. With the addition of new colleagues, we have a stronger team to drive our ambition to be a truly regional bank that helps our customers achieve their financial aspirations,” he said.

On this occasion, UOB Vietnam has also appointed Fred Lim as Head of Retail Transformation, Channels and Digitalisation, and Business Banking, UOB Vietnam and Paul Kim as Head of Personal Financial Services. 

UOB Vietnam has worked closely with Citigroup Vietnam to ensure a seamless transition for customers, which is expected to take 12 to 18 months as the bank works towards a full system integration.

During this transition period, Citigroup Vietnam’s consumer banking customers can expect continuation in the product offerings, services and benefits.

Victor Ngo, Chief Executive Officer of UOB Vietnam, said that the acquisition of Citigroup’s consumer banking business in Vietnam comes at the right time and reinforces its long-term strategy and commitment to the market.

“The potential for the people and businesses in Vietnam is tremendous as it is an economy of rapid growth and transformation, coupled with the swift digital adoption. The completion of our acquisition marks the next chapter of our growth, which provides us a great platform for leadership in retail banking through an enlarged portfolio, expanded footprint and partner ecosystem,” he said./.