Citigroup Plans to Sell Russia Business at $1.1 Billion Loss to Renaissance Capital

Citigroup has decided to conclude its operations in Russia by selling its remaining business, AO Citibank, to Renaissance Capital. This transaction is expected to result in an after-tax loss of $1.1 billion, as per the company's regulatory filing. 

Citigroup Suffers $1.1 Billion Loss with Russia Exit 

On December 29, 2025, Citigroup confirmed it has reached an agreement to sell AO Citibank, its last operational unit in Russia, to Renaissance Capital. As part of this deal, Citigroup expects to incur an after-tax loss of $1.1 billion, which will be reflected in the fourth quarter of 2025. The organisation cited the exit as part of its ongoing strategy to streamline global operations. 

The deal will classify AO Citibank as “held for sale” in Citigroup’s financial reporting for Q4 2025, aligning with standard regulatory procedures. The sale completion is expected in the first half of 2026, pending necessary regulatory approvals from appropriate jurisdictions. 

Breakdown of Citigroup’s Russian Business Divestment 

AO Citibank represented Citigroup’s residual presence in the Russian market after it started unwinding some of its customer operations in previous years. Renowned for serving multinational and institutional clients, AO Citibank’s transfer signifies Citigroup’s complete exit from the country.  

Renaissance Capital, the acquiring party, is a Moscow-based financial services group specialising in investment banking across emerging markets. 

Financial Impact to Reflect in 2025 Records 

This loss stemming from the divestment will be booked in the final quarter of 2025. As the financial information will list AO Citibank as “held for sale,” the accompanying impairment will be disclosed under discontinued operations in line with global accounting standards. 

Read More: India's Russian Oil Imports Decline, US Imports Rise in 2025! 

Close of Deal Set for First Half of 2026 

The transaction awaits relevant regulatory clearances and is targeted to conclude by mid-2026. Citigroup has clarified that this move does not impact other geographies and is isolated to its Russian strategy. 

Conclusion 

Citigroup's divestment of AO Citibank in Russia marks a strategic move to exit the Russian market fully, resulting in a $1.1 billion after-tax loss. The process is underway, with deal closure expected in the first half of 2026, subject to approvals. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.