Citigroup Completes Takeover of Nikko
Citigroup has gained control of Nikko Cordial. Nikko's shareholders tendered some 541 million shares, giving Citigroup 61% control of the scandal-plagued company. The $7.7 billion deal is the biggest foreign buyout of a Japanese company. The Nikko takeover is part of Citigroup's strategy to have 60% of its revenue come from non-US sources; the current figure is 45%. The acquisition will give Citigroup a total of 109 branches in Japan.

Several firms with large stakes in Nikko were unhappy with the terms of the offer, and they could still cause trouble for Citigroup as minority shareholders. Thus the bank may try to acquire additional shares to assure a dominant two-thirds ownership share, enabling it to merge or sell units without the consent of other shareholders. Bloomberg, Forbes, IHT