Citigroup Announces Full Redemption of Series P Preferred Stock
Citigroup (C) has announced the complete redemption of its Series P Preferred Stock, with an aggregate liquidation preference of $2 billion. The redemption is scheduled for May 15, 2025, with a cash redemption price of $1,000 per Depositary Share.
Holders of record as of May 5, 2025, will receive the previously declared semi-annual dividend of $29.75 per Depositary Share on the redemption date. This strategic move is part of Citigroup's ongoing efforts to optimize its funding and capital structure, considering factors such as economic value, regulatory changes, net interest margin impact, borrowing costs, and overall market conditions.
Citigroup (C) ha annunciato il rimborso completo delle sue azioni privilegiate Serie P, con un valore di liquidazione aggregato di 2 miliardi di dollari. Il rimborso è previsto per il 15 maggio 2025, con un prezzo di rimborso in contanti di 1.000 dollari per azione depositaria.
I detentori registrati al 5 maggio 2025 riceveranno il dividendo semestrale già dichiarato di 29,75 dollari per azione depositaria alla data di rimborso. Questa mossa strategica fa parte degli sforzi continui di Citigroup per ottimizzare la sua struttura di finanziamento e capitale, considerando fattori quali il valore economico, i cambiamenti normativi, l'impatto sul margine di interesse netto, i costi di indebitamento e le condizioni generali di mercato.
Citigroup (C) ha anunciado el reembolso completo de sus acciones preferentes Serie P, con un valor de liquidación agregado de 2 mil millones de dólares. El reembolso está programado para el 15 de mayo de 2025, con un precio de reembolso en efectivo de 1,000 dólares por acción depositaria.
Los titulares registrados al 5 de mayo de 2025 recibirán el dividendo semestral previamente declarado de 29.75 dólares por acción depositaria en la fecha de reembolso. Esta medida estratégica forma parte de los esfuerzos continuos de Citigroup para optimizar su estructura de financiamiento y capital, considerando factores como el valor económico, los cambios regulatorios, el impacto en el margen de interés neto, los costos de endeudamiento y las condiciones generales del mercado.
시티그룹(C)은 총 20억 달러의 청산 우선권을 가진 시리즈 P 우선주 전량 상환을 발표했습니다. 상환 예정일은 2025년 5월 15일이며, 주당 현금 상환 가격은 1,000달러입니다.
2025년 5월 5일 기준 주주명부에 등재된 보유자는 상환일에 주당 29.75달러의 반기 배당금을 받게 됩니다. 이번 전략적 조치는 경제적 가치, 규제 변화, 순이자 마진 영향, 차입 비용, 전반적인 시장 상황 등을 고려하여 시티그룹이 자금 조달 및 자본 구조를 최적화하기 위한 지속적인 노력의 일환입니다.
Citigroup (C) a annoncé le remboursement complet de ses actions privilégiées de la série P, avec une valeur liquidative totale de 2 milliards de dollars. Le remboursement est prévu pour le 15 mai 2025, avec un prix de remboursement en espèces de 1 000 dollars par action dépositaire.
Les détenteurs inscrits au 5 mai 2025 recevront le dividende semestriel précédemment déclaré de 29,75 dollars par action dépositaire à la date de remboursement. Cette décision stratégique s’inscrit dans les efforts continus de Citigroup pour optimiser sa structure de financement et de capital, en tenant compte de facteurs tels que la valeur économique, les changements réglementaires, l’impact sur la marge d’intérêt nette, les coûts d’emprunt et les conditions générales du marché.
Citigroup (C) hat die vollständige Rückzahlung seiner Vorzugsaktien der Serie P mit einem aggregierten Liquidationswert von 2 Milliarden US-Dollar angekündigt. Die Rückzahlung ist für den 15. Mai 2025 geplant, mit einem Barauszahlungspreis von 1.000 US-Dollar pro Hinterlegter Aktie.
Die am 5. Mai 2025 eingetragenen Inhaber erhalten am Rückzahlungstag die zuvor deklarierte halbjährliche Dividende von 29,75 US-Dollar pro Hinterlegter Aktie. Dieser strategische Schritt ist Teil der fortlaufenden Bemühungen von Citigroup, ihre Finanzierungs- und Kapitalstruktur zu optimieren, unter Berücksichtigung von Faktoren wie wirtschaftlichem Wert, regulatorischen Änderungen, Auswirkungen auf die Nettomargen, Kreditkosten und den allgemeinen Marktbedingungen.
- Strategic capital management through $2 billion preferred stock redemption
- Potential improvement in funding efficiency and capital structure
- Reduction in dividend payment obligations
- Reduction in capital buffer from preferred stock redemption
- Potential increase in overall funding costs
Insights
Citigroup's announcement to redeem
This redemption is particularly noteworthy when examining the motivation - enhancing funding efficiency. In banking, capital structure optimization directly impacts profitability metrics like return on equity. By eliminating these preferred shares, Citigroup removes
From a capital adequacy perspective, this
This transaction aligns with broader banking industry capital management practices where institutions continuously evaluate their funding mix across common equity, preferred stock, and various debt instruments to maintain optimal regulatory ratios while minimizing capital costs. While not transformative to Citigroup's overall financial position, it demonstrates disciplined balance sheet management and a focus on shareholder value through financial efficiency.
The redemption date is May 15, 2025, for the Preferred Stock and related Depositary Shares (the “Redemption Date”). The cash redemption price, payable on the Redemption Date for each Depositary Share, will equal
The redemption announced today reflects Citigroup’s ongoing efforts to enhance the efficiency of its funding and capital structure. Citigroup’s redemptions are 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, the Depositary Shares representing the redeemed Preferred Stock will no longer be outstanding and dividends will no longer accrue on such securities.
Computershare Trust Company, N.A. (“Computershare”) is the paying agent for the Depositary Shares. The paying agent’s address is Computershare Trust Company, Attn: Corporate Actions, 150 Royall Street, Suite 101,
For further information on the Preferred Stock and the related Depositary Shares, please see the prospectus at the following web address: https://www.citigroup.com/rcs/citigpa/akpublic/storage/public/FinalProsuppUS2B5950.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
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View source version on businesswire.com: https://www.businesswire.com/news/home/20250415813260/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
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