US financial services company Citigroup Inc (NYSE:C) said on Monday it had inked a deal to dispose of its Diners club card issuing operation in the UK and Ireland to private investor group Affiniture Cards Ltd.
As part of the transaction, Affiniture Cards will purchase payment card accounts in the particular countries. The financial terms of the deal were not unveiled.
The move is in line with Citi’s goal to reduce the activities within its portfolio of non-core operating businesses and assets. The bank said it seeks to do so in an “economically rational manner” while generating long-term profitability from its core franchise. It did not provide any further details. The specific portfolio is being held by Citi Holdings.
According to the vendor, Affiniture Cards’ management team has a huge experience in the cards and payments sector.
Citigroup is a global bank with about 200m customer accounts and operations in more than 160 countries and jurisdictions. The company specialises in offering consumer banking and credit, corporate and investment banking, securities brokerage, transaction and wealth management services to consumers, corporations, governments and institutions.