Citigroup Global Services sale on hold
Citigroup was close to signing a deal with Genpact but the deal was cancelled after the two companies couldn't agree on a price.
Citigroup Inc. has delayed the sale of Citigroup Global Services, its business process outsourcing operations in India, mainly due to falling market valuations in a volatile market, according to a report in the Economic Times.
The report, which cited unnamed sources, said Citigroup was close to signing a deal with Genpact Ltd., but the deal was cancelled after the two companies couldn’t agree on a price.
The appreciation of the Indian Rupee, the high rate of employee defections in Citigroup’s unit and a drop in stock market values made Genpact unwilling to pay $700 million for the division, the report stated.
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