Having acquired the loans, credit cards, wealth management and retail businesses of Citibank in India, Axis Bank is now willing to absorb Citi’s 3,600 employees. They will now become part of Axis’ workforce strength of about 86,000.
These employees serving Citi’s consumer-banking operations will receive offers from Axis, as per the existing policies regarding compensations.
As part of the deal, Axis will take over US-based Citi’s 30 lakh unique customers in India, but post acquisition, there will be no changes in the number of Citi branches.
Once the deal is formally concluded, approval will be sought from Citi customers to convert them into Axis customers. If they are willing to allow Axis to manage their accounts, wealth and credit cards, their changeover will be facilitated. They will also continue to receive the rewards and privileges that were offered to them by Citi earlier. However, if they do not wish to be associated with Axis, they will be free to withdraw their deposits.
Citibank has decided to quit retail businesses in about 13 markets so that it can concentrate on revenue streams with better returns. As part of this global strategy, it decided to withdraw from the Indian consumer banking business.
This acquisition will not affect the Citi Solution Centres in the country, which will continue to operate, leveraging the Indian talent available in the areas of technology, analytics, operations, and finance.