In recent years, Citi has consistently emerged as the best investment bank for emerging markets. This year, no other financial institution comes close. Citi was named best investment bank in three regions this year – central and eastern Europe, Asia and Africa – and ran the ultimate winner close in the Middle East.
Its global model is paramount in this equation. Being almost everywhere, while reining in costs, allows it to offer a full set of services to clients wherever they are, be it west Africa or southeast Asia, Latin America or central Europe.
Let’s start with the largest of the emerging markets.
First China, where Citi acted as exclusive financial adviser to Abu Dhabi investment firm CYVN Holdings on its $1.1 billion acquisition of a 7% stake in Chinese electric vehicle maker Nio.
That deal, made up of a private placement and a $350 million purchase of secondary shares, is multi-layered and could play out over a series of stages and years. For now, it unlocks new opportunities for the Shanghai-headquartered, New York-listed EV maker as it looks to push into new, high-growth markets. Elsewhere in sustainability, a key deal was the $450 million sustainability-linked loan for Zhen Ding Technology, a first of its kind in the printed circuit board sector.
Shortlisted
- BTG Pactual
- HSBC
Then to India, where Citi was joint books on the $638 million IPO of India’s Cube Highways Trust, in April 2023. Citi advised the client on deal size, structure and asset selection, designed a unique marketing strategy, and led demand generation across the syndicate. It marked India’s largest domestic infrastructure investment trust in terms of valuation.
Citi also played a key role on the $19.2 billion demerger of Reliance industries’ financial services businesses into Jio Financial Services.
Elsewhere in Asia, the bank was joint global coordinator on the IPO of Indonesia’s Trimegah Bangun Persada, which raised $614 million in April 2023. Citi was also joint books on an inaugural $1 billion sukuk from the Republic of the Philippines, a 5.5-year RegS/144A issuance that generated $3.8 billion in total orders.
In central and eastern Europe, where Citi has been present since 1975, the US lender serves nine markets from its European hub in London, including Poland, Czech Republic, Hungary, Turkey and Romania.
Here, the key deal of the year was Hidroelectrica’s $2.06 billion IPO, completed in July. Citi acted as joint global coordinator and stabilization manager to Romania’s leading electricity producer and one of Europe’s largest hydropower companies, and played a critical role as international settlement bank.
The bank also acted as financial adviser to Greece’s Public Power Corporation on its acquisition of Enel’s Romania operations. The €1.9 billion deal, announced March 2023, was the largest international acquisition ever made by a Greek corporate.
In Africa, no financial institution could compete during the awards period with Citi, a firm that boasts a presence in 16 countries, with a dedicated investment banking team in Johannesburg supported by corporate bankers across the region.
In advisory, Citi was exclusive adviser to AMEA Power on its $75 million private capital raise from Japan’s SoftBank. The facility, completed against a challenging backdrop, will enable the renewable energy developer to fund new projects across the region.
Also in sustainability, the US bank helped London-based global investment firm Actis complete the sale of African renewable energy platform BTE Renewables to asset manager Meridiam and multinational utility Engie for $1 billion. Citi was sole financial adviser and provided FX hedging solutions to Actis.
Our ability to remain the trusted local partner of choice in deploying our global network, advice and capital continues to make Citi distinctive
Hamza Girach
In debt capital markets, Citi was joint leading manager and bookrunner on the Republic of Egypt’s inaugural sukuk, a $1.5 billion sale of three-year Islamic bonds priced in February 2023, enabling the Egyptian state to repay $1.25 billion in five-year Eurobonds.
It also helped the Kingdom of Morocco complete a $2.5 billion, dual-tranche sovereign bond, securing the largest orderbook for any African debt sale in nearly two years.
It also helped Mauritius based lender MCB to price a five-year, $300 million Eurobond in April 2023 – the first of its kind completed by the island state.
Elsewhere, a host of deals highlight the global reach of Citi’s investment bank.
In Brazil, it led a $1.95 billion comprehensive liability management and recapitalization programme for domestic airline Azul, helping the carrier avoid bankruptcy.
It secured a $650 million bridge loan for Grupo Gloria, enabling the Peruvian conglomerate to snap up Chile’s Soprole.
In Saudi Arabia, it advised Saudi Basic Industries on its sale of Saudi Iron & Steel, better known as Hadeed, to the Public Investment Fund. The deal, completed in September 2023, creates a national champion in the Kingdom’s steel sector and aligns with efforts to accelerate development across 13 key sectors.
“These are dynamic, complex and highly active markets, undergoing significant change in executing ambitious domestic and international priorities while navigating an unprecedented market backdrop,” says Hamza Girach, head of investment banking, Middle East and Africa at Citi. “Our ability to remain the trusted local partner of choice in deploying our global network, advice and capital continues to make Citi distinctive in these markets.”
