Over four quarters of continuous losses and erosion in 90% of its market cap, Citigroup shares have touched a new low of $1.95 making it less valuable than even State Bank of India.
The m-cap of SBI as on 20-Feb-09 was Rs.66,285 crore, 25% more than that of Citigroup which was Rs.52,931 crore.
Citigroup had earlier received a Government funding of $45 billion, however accumulated losses has forced hopes of the US government nationalising the bank and taking upto a 40% stake in the bank.
In last 12 months, Citigroup’s revenue was over 11 times the revenue earned by SBI, but the total losses for Citigroup was Rs.83,474 crore while SBI had profits of Rs,8,262 crore.
In UK too, the Government there is contemplating a 70% stake in RBS. [via]