In a surprising turn of events, Banorte, one of Mexico's leading banks, has distanced itself from the possibility of acquiring Banamex, the former retail unit of Citigroup in Mexico. Marcos Ramírez, the CEO of Banorte, made these statements during an interview with the local newspaper Milenio on May 5, 2025, contradicting earlier indications that the bank might be exploring acquisition opportunities.
Ramírez's comments represent a notable shift from his remarks made just a month ago during Banorte's latest earnings presentation. Back then, he hinted at Banorte's interest in monitoring potential buying opportunities related to Banamex. However, he clarified to Milenio that his earlier statements had been misinterpreted.
"We were interested a few years ago, but we withdrew... We are not involved in the new process," Ramírez stated. He emphasized that while Banorte would continue to keep an eye on developments surrounding Banamex and other potential opportunities, the bank is not currently pursuing any acquisition.
This change in stance comes after Banorte had previously launched an offer to acquire Banamex in 2022, a bid that was ultimately retracted. Analysts had viewed this decision positively at the time, as it demonstrated Banorte's cautious approach to expansion amidst a complex financial landscape.
Meanwhile, Citigroup, the parent company of Banamex, is now considering an initial public offering (IPO) for the unit, which could lead to a dual listing in both Mexico City and New York. This move follows an earlier attempt to sell Banamex to Grupo México for approximately $7 billion, a deal that fell through due to rising tensions between the mining conglomerate and then-President Andrés Manuel López Obrador.
Despite the setbacks, the potential IPO represents a significant shift for Banamex, which has been navigating a challenging market environment since it was spun off from Citigroup. Analysts are closely watching how this development unfolds, particularly given the implications it may have for the Mexican banking sector.
Ramírez's earlier comments had suggested that Banorte was actively observing the movements of Banamex, with plans to potentially propose a new strategy based on those observations. However, his latest remarks indicate a more cautious approach, as he reiterated, "We will continue to monitor what happens with that (Banamex) and with any other."
The banking industry in Mexico is at a crossroads, with major players like Banorte and Citigroup navigating a landscape that is rapidly changing due to economic pressures and regulatory challenges. As Banorte steps back from the acquisition table, it raises questions about the future of Banamex and the competitive dynamics within the sector.
As the situation develops, stakeholders will be keen to see how Citigroup's plans for an IPO unfold and what impact this will have on the broader market. The potential for a dual listing could attract significant investor interest, especially if it reflects a robust recovery in the Mexican economy.
In summary, Banorte's withdrawal from the potential acquisition of Banamex underscores the complexities of the current financial environment in Mexico. With Citigroup now pivoting towards an IPO, the landscape is set for further developments that could reshape the future of banking in the region.
