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Citigroup Unit Acquires People's Bank U.K. Credit Card Operations

Chris Frankie

Citigroup (C Quote) said on Friday that one of its units acquired the U.K. credit card operations of People's Bank (PBCT Quote) in a deal worth about $526 million.

Citigroup said the acquisition will strengthen its position in the U.K. "This transaction represents a further step in our efforts to expand our consumer business globally, broadening our presence in the important U.K. marketplace," the company said in a statement. "The People's U.K. credit card business represents a significant increase to our own profitable and growing business in the U.K."

Shares of Citigroup, a component of the Dow Jones Industrial Average, lost $1.20, or 2.7%, to $43.80 in recent New York Stock Exchange trading.