Citigroup Announces $3.5 Billion Redemption of 3.106% Fixed Rate/Floating Rate Notes Due 2026
Citigroup (C) has announced the complete redemption of its $3.5 billion 3.106% Fixed Rate/Floating Rate Notes due 2026. The redemption is scheduled for April 8, 2025, with the cash redemption price equaling par plus accrued and unpaid interest.
This strategic move aligns with Citigroup's liability management strategy and ongoing efforts to optimize its funding and capital structure. The bank will continue evaluating opportunities to redeem or repurchase securities based on factors including economic value, regulatory changes, net interest margin impact, borrowing costs, debt portfolio tenor, capital impact, and market conditions.
Citigroup (C) ha annunciato il completo riscatto delle sue 3,5 miliardi di dollari di Obbligazioni a Tasso Fisso/Variabile al 3,106% in scadenza nel 2026. Il riscatto è programmato per il 8 aprile 2025, con il prezzo di riscatto in contante pari al valore nominale più gli interessi maturati e non pagati.
Questa mossa strategica si allinea con la strategia di gestione delle passività di Citigroup e gli sforzi continui per ottimizzare la propria struttura di finanziamento e capitale. La banca continuerà a valutare opportunità per riscattare o riacquistare titoli basandosi su fattori quali valore economico, cambiamenti normativi, impatto sul margine di interesse netto, costi di finanziamento, durata del portafoglio debitorio, impatto sul capitale e condizioni di mercato.
Citigroup (C) ha anunciado el rescate completo de sus 3.5 mil millones de dólares de Notas a Tasa Fija/Variable del 3.106% con vencimiento en 2026. El rescate está programado para el 8 de abril de 2025, con el precio de rescate en efectivo equivalente al valor nominal más los intereses devengados y no pagados.
Este movimiento estratégico se alinea con la estrategia de gestión de pasivos de Citigroup y los esfuerzos continuos para optimizar su estructura de financiamiento y capital. El banco seguirá evaluando oportunidades para rescatar o recomprar valores en función de factores como el valor económico, los cambios regulatorios, el impacto en el margen de interés neto, los costos de endeudamiento, la duración de la cartera de deuda, el impacto en el capital y las condiciones del mercado.
시티그룹 (C)은 2026년 만기 3.106% 고정금리/변동금리 채권 35억 달러의 전액 상환을 발표했습니다. 상환은 2025년 4월 8일로 예정되어 있으며, 현금 상환 가격은 액면가에 미지급 및 발생한 이자를 더한 금액입니다.
이 전략적 조치는 시티그룹의 부채 관리 전략과 자금 및 자본 구조 최적화를 위한 지속적인 노력과 일치합니다. 은행은 경제적 가치, 규제 변화, 순이자 마진 영향, 차입 비용, 채무 포트폴리오 만기, 자본 영향 및 시장 조건과 같은 요소에 따라 채권을 상환하거나 재매입할 기회를 계속 평가할 것입니다.
Citigroup (C) a annoncé le remboursement complet de ses 3,5 milliards de dollars d'Obligations à Taux Fixe/Variable à 3,106% arrivant à échéance en 2026. Le remboursement est prévu pour le 8 avril 2025, le prix de remboursement en espèces étant égal à la valeur nominale plus les intérêts courus et non payés.
Ce mouvement stratégique s'inscrit dans la stratégie de gestion des passifs de Citigroup et les efforts continus pour optimiser sa structure de financement et de capital. La banque continuera d'évaluer les opportunités de remboursement ou de rachat de titres en fonction de facteurs tels que la valeur économique, les changements réglementaires, l'impact sur la marge d'intérêt nette, les coûts d'emprunt, la durée du portefeuille de dettes, l'impact sur le capital et les conditions du marché.
Citigroup (C) hat die vollständige Rückzahlung seiner 3,5 Milliarden Dollar 3,106% festverzinslichen/variablen Anleihen mit Fälligkeit 2026 angekündigt. Die Rückzahlung ist für den 8. April 2025 vorgesehen, wobei der Rückzahlungspreis in bar dem Nennwert zuzüglich aufgelaufener und nicht gezahlter Zinsen entspricht.
Dieser strategische Schritt steht im Einklang mit der Verbindlichkeitenmanagementstrategie von Citigroup und den fortlaufenden Bemühungen, die Finanzierungs- und Kapitalstruktur zu optimieren. Die Bank wird weiterhin Möglichkeiten zur Rückzahlung oder zum Rückkauf von Wertpapieren bewerten, basierend auf Faktoren wie wirtschaftlichem Wert, regulatorischen Änderungen, Auswirkungen auf die Nettozinsspanne, Finanzierungskosten, Laufzeit des Schuldenportfolios, Kapitalauswirkungen und Marktbedingungen.
- Early redemption of $3.5B notes demonstrates strong liquidity position
- Strategic move to optimize funding costs and capital structure
- Potential improvement in net interest margin through liability management
- Reduction in available long-term funding sources
- Potential increase in short-term funding needs
Insights
Citigroup's $3.5 billion redemption of its 3.106% Fixed Rate/Floating Rate Notes represents strategic liability management for the banking giant. This early redemption of debt originally maturing in 2026 is part of Citigroup's ongoing efforts to optimize its capital structure and funding efficiency.
The timing is noteworthy - by redeeming these notes now rather than at maturity, Citigroup signals confidence in its liquidity position and demonstrates proactive balance sheet management. For context, this redemption represents about
The company's statement that it considers factors including "economic value, regulatory changes, potential impact on net interest margin and borrowing costs" suggests this decision is financially advantageous given current market conditions. Banks like Citigroup constantly evaluate their debt portfolios to minimize financing costs while maintaining appropriate capital levels.
This transaction aligns with standard capital optimization practices for major financial institutions. While the immediate financial impact will be modest, such decisions cumulatively enhance balance sheet efficiency and potentially improve returns over time. The orderly announcement and execution of this redemption further demonstrates the bank's disciplined approach to liability management.
The redemption date for the notes is April 8, 2025 (the “redemption date”). The cash redemption price for the notes payable on the redemption date will equal par plus accrued and unpaid interest, to but excluding, the redemption date.
The redemption announced today is consistent with Citigroup's liability management strategy and reflects its ongoing efforts to enhance the efficiency of its funding and capital structure. Citigroup will continue to consider opportunities to redeem or repurchase securities, based on several factors, including without limitation, the economic value, regulatory changes, potential impact on Citigroup's net interest margin and borrowing costs, the overall remaining tenor of Citigroup's debt portfolio, capital impact, as well as overall market conditions.
Beginning on the redemption date, interest will no longer accrue on the notes.
Citibank, N.A. is the paying agent for the notes. For further information on the notes, please see the related prospectus supplement at the following web address: https://www.citigroup.com/rcs/citigpa/akpublic/storage/public/CitiApr2026FXDdue2026FinalProSupp.pdf
About Citi
Citi is a preeminent banking partner for institutions with cross-border needs, a global leader in wealth management and a valued personal bank in its home market of
Additional information may be found at www.citigroup.com | X: @Citi | LinkedIn: www.linkedin.com/company/citi | YouTube: www.youtube.com/citi | Facebook: www.facebook.com/citi
View source version on businesswire.com: https://www.businesswire.com/news/home/20250403690216/en/
Media Contact:
Danielle Romero Apsilos
212 816 2264
danielle.romeroapsilos@citi.com
Fixed Income Investor Contact:
Peter Demoise
212 559 2718
peter.demoise@citi.com
Source: Citigroup Inc.
FAQ
What is the total value of Citigroup (C) notes being redeemed in April 2025?
When will Citigroup (C) stop paying interest on the redeemed notes?
What is the redemption price for Citigroup's (C) 2026 notes?
How does this redemption align with Citigroup's (C) strategy?
