Following DBS’s acquisition of Citi’s consumer banking business in Taiwan, it has become the market’s largest foreign lender.
DBS has completed the acquisition of Citi’s consumer banking business in Taiwan, according to a statement. Following the deal, DBS has become Taiwan’s largest bank by assets.
The Singapore lender has doubled the number of consumer banking customers to over 1.1 million with the number of credit card accounts nearly quintupling to more than 3 million. Total loan balance rose to S$32 billion ($24 billion), total deposits balance rose to S$36 billion and investment assets under management more than tripled to over S$12 billion.
In addition, close to 3,000 employees from Citi’s consumer unit in Taiwan have moved over to DBS.
Accelerated Growth
«By bringing a prized Citi franchise into our fold, we accelerate our consumer business growth in Taiwan by at least 10 years. Overnight, revenue from the market will more than double to over S$1.3 billion,» said DBS CEO Piyush Gupta.
DBS has been present in the Taiwanese market for 40 years. In January 2022, it announced the acquisition of Citi’s consumer banking business in the market by paying cash for net assets plus a premium of S$956 million.
On the side of Citi, the transactions is expected to result in a regulatory capital benefit of approximately $1.2 billion. In total, the bank has completed eight consumer divestitures as part of its broader refresh strategy. Following the consumer sale, Citi will remain in the Taiwan market for its institutional client businesses.
