Barclays Bank, acting through its Portuguese branch, has agreed to acquire the Portuguese credit card business of Citibank, Sucursal em Portugal. Under the terms of the transaction, Barclays will acquire approximately 400,000 credit card accounts, gross assets of approximately EURO644 million, of which substantially all relate to receivables as well as the Citibank’s employees.
Barclays intends to integrate the company into its existing Barclays Portugal business, which is part of the global retail and commercial banking – western Europe division. Moreover, Barclays intends to rebrand existing Citi cards with its global Barclaycard brand.
Frits Seegers, chief executive of Barclays global retail and commercial banking, said: “Barclays business in Portugal has grown rapidly over the past three years, adding more than 130 branches across the country. With this acquisition, we will deliver a real step change in our business, significantly increasing Barclays Portugal’s customer base and providing extensive cross-sell opportunities. Barclays Portugal will be a leading international issuer in the country and will be positioned to become a top five player in the cards sector.”
However, the transaction is subject to competition clearance and is expected to occur before the end of 2009.
