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Citigroup Takes Another Small Step

Citigroup shrunk another small bit late Thursday, completing its sale of 16.4 million Primerica shares to Warburg Pincus for $230 million.



) --


(C) - Get Citigroup Inc. Report

has completed its sale of 16.4 million shares of


(PRI) - Get Primerica, Inc. Report

to private equity firm Warburg Pincus for $230 million.

The transaction, which was part of a previously announced agreement related to Primerica's initial public offering on April 1, also includes seven-year warrants for Warburg Pincus to purchase another 4.1 million Primerica common shares at an exercise price of $18 per share.

In addition, Primerica said Michael Martin and Daniel Zilberman, two Warbug Pincus managing directors, will be joining its board.

Shares of Citigroup, which now owns less than 40% of Primerica's outstanding common stock, were off slightly in premarket action, dipping 7 cents to $4.74 in recent trades. The stock was up about 50% year-to-date through Thursday's close, and

managed to cross the $5 level for the first time since mid-October

yesterday, but it was unable to hold the gains and ultimately closed lower.

Seemingly always at the top of the New York Stock Exchange's volume leaders these days, another 30 million Citigroup shares have already traded ahead of the open. On Thursday, 1.5 billion shares changed hands.

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Citigroup is slated to report its own results before Monday's opening bell, so Friday's session will be the last chance for traders to position themselves ahead of the release. Wall Street's consensus estimate is for Citigroup to post breakeven results on a per share basis with revenue projected at $20.8 billion.


Written by Michael Baron in New York