Government of Singapore Investment Corp (GIC) today said it has reduced its stake in global financial services major Citigroup to below 5 per cent through open market sales.
GIC, the Singapore government's investment management company, had 9 per cent stake in Citigroup earlier.
"This was the level GIC had intended when it invested in Citigroup through the convertible security. A stake below 5 per cent reflects GIC's goals and desire to be a portfolio investor," the statement added.
On September 11, GIC had exchanged its $6.88 billion holdings of convertible preferred stock of Citigroup into common stock.
The conversion price had been $3.25 per share, this exchange had resulted in GIC having a shareholding stake exceeding 9 per cent in Citigroup.
Following the conversion, GIC has now reduced this stake in Citigroup to below 5 per cent through open market sales.
However "GIC will continue its investment in Citigroup as we are confident of its long-term prospects," the statement added.