Chief of Mexico’s Mifel says it is still in bidding process for Citibanamex

MEXICO CITY (Reuters) – Mexico’s Banca Mifel is still in the bidding process for Citigroup’s Mexican retail bank Citibanamex, Mifel’s head Daniel Becker told Reuters on Wednesday.

Speaking at an event hosted by Mexico’s banking association, Becker – the bank’s chairman and CEO – said the race was not over, but declined to comment further.

The competition to buy one of Mexico’s biggest retail banks has narrowed to two bidders, with smaller rival Mifel, in conjunction with a band of investors, battling billionaire German Larrea’s conglomerate Grupo Mexico.

The two remaining bidders are now conducting further due diligence on the business, sources told Reuters late last month.

U.S. banking giant Citigroup is offloading the unit, also known locally as Banamex, as part of Chief Executive Officer Jane Fraser’s efforts to sell some international operations and simplify the firm.

The potential acquisition would transform Mifel. Banamex is Mexico’s fourth largest bank by assets with a 11.9% market share, whereas Mifel holds less than 1% of the market, according to the latest data from the country’s National Banking and Securities Commission.

The sale process is expected to be completed next year.

(Reporting by Valentine Hilaire; Writing by Isabel Woodford; Editing by Anthony Esposito and Alistair Bell)