The sale of Banamex, Mexico’s oldest bank, by Citigroup continues to unfold in ways that surprise the market. The U.S. banking group has announced the unexpected sale of 25% of Banamex to local businessman Fernando Chico Pardo.
Chico Pardo will acquire the 25% stake through the purchase of 520 million common shares of Banamex, at a fixed price of 0.80 times their book value, as determined under Mexican accounting standards at the closing date.
At the time of signing, this implies a price at tangible book value (common equity capital, as established under the standards, minus impairment and identifiable intangible assets, including internally developed software) of 0.95 times, resulting in a total estimated consideration of 42 billion pesos (around 2.3 billion dollars).
The transaction is subject to customary closing conditions, including regulatory approvals in Mexico, and is expected to be completed in the second half of 2026.
“We are very committed and pleased to be part of Banamex, which is an iconic institution in Mexico with a very promising future. We have great confidence in the team and will continue working closely on the transformation that has already begun, streamlining its end-to-end digitalization with an exceptional focus on customer satisfaction at every point of contact, accelerating even further the growth that has already started,” said Fernando Chico Pardo in a statement.
He also emphasized: “We believe that Banamex’s historical mission is to support the country and its people, and that aligns with our firm conviction that investing in Mexico is the best option due to its potential. Our long-term commitment is to work together to achieve better positioning in all areas and thereby further boost sectors, businesses, and people across the country.”
For his part, Manuel Romo, CEO of Banamex, commented: “At Banamex we are very excited about the relationship beginning between Citi, Fernando Chico Pardo, and Banamex. Fernando combines strategic vision, operational excellence, and a forward-looking project centered on delivering excellence to our clients and based on our talent, as well as a deep commitment to Mexico and great confidence in its growth prospects.”
“Together with Fernando and Citi, we will remain highly focused on our strategy of growth, digital transformation, and expansion, always centered on delivering excellence to our clients,” said the head of the Mexican bank.
Citigroup, meanwhile, stated that the divestiture of Banamex remains a strategic priority and any related decision regarding the timing or structure of the proposed initial public offering will continue to be guided by various factors, including market conditions and obtaining regulatory approvals.
Indeed, the planned IPO process, scheduled for the end of this year, could see some changes with the incorporation of Fernando Chico Pardo into Banamex’s shareholding. Initial reactions from analysts in the sector suggest they expect further clarifications or related news soon.
Chico Pardo: Long Business Career in the Financial Sector
The new Banamex shareholder began his career on Wall Street before founding Acciones y Asesoría Bursátil, a brokerage firm where he was founding partner and CEO until 1992.
That year, the brokerage firm merged with Inbursa, and Fernando Chico Pardo assumed the role of CEO of Grupo Financiero Inbursa until 1997. In 1997, he founded Promecap, a leading private equity firm in Mexico managing assets worth 5 billion dollars, where he serves as chairman and CEO.
He is also a controlling shareholder in ASUR (airports), RLH Properties, and Tortuga (hospitality), and is the largest individual shareholder of Carrix (port operations). He also serves as chairman of the board at ASUR and sits on the board of directors of Carrix and various Mexican companies such as Grupo Carso, Grupo Industrial Saltillo, and GEPP.
