Citigroup Plans To Close Global Distressed-Debt Business: Report

Citigroup Inc C is reportedly planning to close its global distressed-debt business.

The bank is leaving businesses with poor returns as a part of CEO Jane Fraser’s overhaul, said CNBC.

The distressed-debt group, which trades the bonds and other securities of companies in or approaching bankruptcy, has about 40 employees, as per the report.

Related: Citigroup Restructures, Targets 10% Senior Management Layoffs

This month, Chief Financial Officer Mark Mason disclosed the bank's largest reorganization in decades has cost about $1 billion for charges related to restructuring and severance, most of which are already booked in the first three quarters.

Also Read: Citigroup's Mexican Arm Banamex To Go Public In 2025, Following Corporate Separation: Report

Price Action: Citigroup shares are trading higher by 0.54% at $50.34 premarket on the last check Thursday.