Citi Launches Issuer Services, Agency and Trust in the Middle East
London and Dubai, April 20, 2008 - Citi announced today it is providing on-shore agency and trust capabilities to clients in the Middle East. It will initially focus on the UAE, Bahrain and Kuwait.
Mohammed Al-Shroogi, Managing Director for the Middle East and Chief Executive Officer for Citi in the UAE, said, "Global capital flows are being redirected from the West to the Middle East and the region is growing strongly as a result. We have had a significant presence in the Middle East for the past five decades and are furthering our commitment with the addition of an Agency and Trust franchise. Citi opened new branches in Qatar and Kuwait in 2007 and is now extending services to Shari'a compliant escrow services, settlement agent and security agent roles."
Murali Subramanian, Cluster Head of Global Transaction Services and Acting Head of GTS in the UAE said, "Our offering reflects the level of maturity the Middle East has attained. This represents an opportunity for us to better serve the region while expanding services for our global clients, who continue to rapidly increase their Middle Eastern investment."
Citi's Issuer Services has industry leading experience in documenting and executing deals ranging from sukuk transactions, through Shari'a compliant escrow arrangements, bespoke structured solutions and the most complex project financings and structured finance transactions in all geographies. Debt issuers, investment banks, collateral managers and investment managers rely on Citi for a variety of agency, debt and fiduciary services to support the full spectrum of capital market transactions.
Through the largest proprietary network in the world, Citi combines comprehensive knowledge of local market practices with extensive access to local market participants. Citi Issuer Services supports assets under custody in excess of $4 trillion in debt and equity and is the largest Common Depository in EMEA.
Global Transaction Services, a division of Citi's Institutional Clients Group, offers integrated cash management, trade, and securities and fund services to multinational corporations, financial institutions and public sector organizations around the world. With a network spanning over 100 countries, Citi's Global Transaction Services supports over 65,000 clients. As of the 1st quarter of 2008, it held on average $283 billion in liability balances under administration, and $12.9 trillion in assets under custody and trust.
Notes to Editors
Facts on Shari'a compliance: Clients expect issuers to provide services with the principles of Islam Jurisprudence (Shari'a) and Citi has access to Shari'a Board Scholars to ensure we are compliant. Citi Islamic Investment Bank (CIIB), incorporated in 1996 in Bahrain, is growing its solutions to meet the rising demands for Islamic Finance from investors all over the world.
Shari'a compliant escrow services is a product extension to the existing standard escrow product that is compliant with the principles of Islam Jurisprudence (Shari'a) and based on a Murabaha structure (Cost-Plus Financing structure).
Settlement Agent is required to support Eurobond issuance into Euroclear/Clearstream. The Settlement Agent is responsible for the creation and settlement of the securities.
On-Shore Security Agent is an existing global product but a new offering in the Middle East that relates to the securing of the pledged asset associated with securitisations, project finance, leveraged buy-outs and restructurings etc.
Citi, the leading global financial services company, has some 200 million customer accounts and does business in more than 100 countries, providing consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, and wealth management. Citi's major brand names include Citibank, CitiFinancial, Primerica, Citi Smith Barney and Banamex. Additional information may be found at www.citigroup.com or www.citi.com.