- Citigroup (C -0.1%) purchased a 20% stake in Turkey's 2nd largest bank (by market value) in 2007 for $3.1B, and today sold its remaining 9.9% holding for $1.15. Combined with a previous sale of a near equivalent amount, Citi lost $800M on the investment.
- At this point for Citi, exiting non-core investments is of more import than wringing every last dollar out of them, nevertheless, some analysts say Citi's willingness to take a big loss on the Turkish lender signals more trouble for that stock market (NYSEARCA:TUR) - the globe's 2nd worst-performer in February.
- While Citi has exited the retail banking business in Turkey, it will continue to serve corporate and commercial clients.
- TUR -2.1% premarket, led by a 5.4% decline in Akbank.