Citi has completed the previously announced repayment of $20bn invested in the company by the US government through the Troubled Asset Relief Program (TARP) and terminated the loss-sharing agreement with the government.
The move follows the successful completion of a securities offering in which Citi raised $20.5bn, including $17bn in common shares and $3.5bn in tangible equity units.
As part of the agreement to end the loss-sharing program, the government has cancelled $1.8bn of trust preferred securities that were part of the $7.1bn paid in consideration for the program.
The government continues to hold $5.3bn in trust preferred securities. The US Treasury continues to hold warrants to buy Citi common stock issued as part of the TARP investment and 7.7bn common shares, which it said it plans to sell in 2010.
