MUMBAI, India & NEW YORK (Business Wire) -- Citi today announced the successful completion of the sale of Citigroup Global Services Limited (CGSL), the India-based captive business processing outsourcing (BPO) business, to Tata Consultancy Services (TCS) (BSE: TCS.BO, NSE: TCS.NS), a leading IT services, business solutions and outsourcing firm, for all cash consideration of $512 million.
In addition to the sale, Citi has signed an agreement for TCS to provide, through CGSL, process outsourcing services to Citi and its affiliates over a period of 9.5 years. The agreement builds upon the existing relationship between Citi and TCS whereby TCS provides application development, infrastructure support, help desk and other process outsourcing services to Citi.
The transaction is expected to help reduce operating expenses related to business processing and will allow Citi to focus on its core financial services competencies. Further, it will reduce Citi's total headcount by more than 12,000 employees, all of whom are located in India.
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, Smith Barney, Banamex and Nikko. Additional information may be found at www.citigroup.com or www.citi.com.
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