U.S. antitrust authorities have thrown a wrench into Citigroup Inc.’s plan to divest its subprime lending unit. Five months ago, Citigroup said it would sell the business, known as OneMain Financial, to Springleaf Holdings Inc. for $4.25 billion. The transaction would be a milestone in the New York company’s yearslong effort to get smaller in response to regulators’ criticism it is too sprawling to manage effectively. But...
Citigroup's sale of OneMain Financial Holdings to Springleaf Holdings may be delayed to beyond 3Q due to antitrust concerns. Springleaf had agreed in March to buy OneMain for $4.25bn in cash, but says it has agreed with the Justice Department not to complete the deal before September 10th so as to give them time to finish its antitrust review.