Grupo México seeks to acquire up to 100% of Banamex from Citigroup

Mexican conglomerate Grupo México has submitted a binding connection to get up to 100% of Banamex from Citigroup, reviving negotiations that had been scrapped successful 2023 and proposing alternatives that see partnering with the caller purchaser of 25% of the bank.

Owned by magnate Germán Larrea, Grupo México is simply a multinational conglomerate successful the mining, proscription and infrastructure industries. It owns Mexico’s largest mining institution and is the country’s starring copper producer. The radical besides operates the largest nationalist railway web and large infrastructure projects.

Germán Larrea (left), shown present attending President Sheinbaum’s archetypal authorities study connected Sept. 1, is the president of Grupo México. (Moisés Pablo/Cuartoscuro)

The institution notified the Mexican Stock Exchange (BMV) of its connection to acquisition 100% of Grupo Financiero Banamex, saying that it volition support the bank’s bulk Mexican ownership and fortify its competitiveness successful the country.

“Once Banamex is regulated solely by Mexican fiscal authorities, it volition beryllium capable to regain its competitory imaginable successful our fiscal system,” Grupo México said successful the missive addressing the BMV. 

Grupo México’s connection comes conscionable a week aft businessman Fernando Chico Pardo, president of Grupo Aeroportuario del Sureste (Asur), announced the acquisition of 25% of the bank’s shares. Grupo México near unfastened the anticipation of acquiring lone 75% of the bank, successful bid to respect Chico Pardo’s offered investment. 

Meanwhile, Citi noted that it has not yet received an connection by Grupo México, and its lone existent woody is with Chico. However, it said that if Grupo México submits an offer, Citi volition see it.

“The statement we announced past week with Fernando Chico Pardo and our projected IPO stay our preferred path,” Citi said. “If Grupo México makes an offer, we will, of course, reappraisal it responsibly and consider, among different hazard factors, the quality to get the required regulatory approvals and the certainty of closing a projected transaction.”

This is the 2nd clip Grupo México has raised the contented of acquiring Banamex. It archetypal expressed involvement successful 2023 but the woody fell through. The quality of a imaginable 75-100% involvement successful Banamex caused Grupo México’s banal terms to descend 18.8% connected Monday morning. 

Germán Larrea is the second-richest antheral successful Mexico with an estimated luck of US $46.3 billion, according to Forbes magazine. Carlos Slim is first.

With reports from El País and Milenio