Citibank to Sell Shares of Redecard

Citibank (C), which is facing the most serious crisis in its history, will sell its 17% share of the credit and debit card processor Redecard (RDCRL.PK). The bank is in danger of being nationalized by the US government and trying to generate cash in any way possible.

Redecard was informed by Citibank of its intention to hold a secondary public offering of its common shared issued by the company. Citibank will likely sell the shares through a public offering.

Citibank has not released a formal statement on the matter.

Redecard recorded net profits of $1.1 billion last year, which is a growth of 43.4% when compared to 2007. The company had a net margin of 42.6%, up from 37.6% the previous year.