Lloyds to shutter more branches; Citi moves closer to Asian retail assets sale

TOP NEWS IN GLOBAL FINANCIALS

* U.K. lender Lloyds Banking Group PLC will shutter another 48 branches as it seeks to cut costs by scaling down its branch network, Reuters reported. The move, which affects 41 Lloyds Bank branches and seven Halifax branches, was criticized by labor union Unite as it could lead to 178 job losses, City A.M. noted.

* Citibank Korea Inc. will hold a board meeting Oct. 22 to discuss its retail banking unit's planned exit from South Korea, with an aim of announcing a decision by Oct. 25, insiders told The Chosun Ilbo. Meanwhile, several major banks, including Singapore's DBS Group Holdings Ltd. and U.K.-based Standard Chartered PLC, plan to submit bids for Citigroup Inc.'s consumer banking assets in Asia, sources told Bloomberg News. Binding offers for the U.S. banking giant's retail businesses in Indonesia, Philippines, Taiwan and Thailand are due Oct. 22, while bids for its India business are due in the week of Oct. 25.

➤ China's bank loan growth slowdown may worsen on property curbs

After loans grew at the slowest pace in more than 15 years in September, concerns about borrowers' ability to make repayments, following debt crises at China Huarong and Evergrande, could force banks to tighten credit.

➤ UK green finance plan to bring more consistency to environmental data

Under the road map, pension schemes, investment products and asset managers will have to provide investors with a better understanding of whether their portfolios are aligned with net-zero emissions climate targets.

➤ Nordea plans series of regular share buyback programs after ECB green light

Share buybacks are "an integrated part of how we manage our capital efficiency and right-size the capital position," said CEO Frank Vang-Jensen. "We have not been able to use that in two years, and now we have the ability, and we will use it."

US & CANADA

* PayPal Holdings Inc. is considering acquiring Pinterest Inc. for $45 billion, Bloomberg News reported, citing people with knowledge of the matter. The payments giant and the image sharing and social media platform recently discussed a potential deal and a price of about $70 per share, the report said.

* Baton Rouge, La.-based Business First Bancshares Inc., the holding company for b1Bank, signed a definitive agreement to acquire Texas Citizens Bancorp Inc. and its wholly owned bank subsidiary Texas Citizens Bank NA in a transaction valued at about $52.9 million.

Click here for more of the day's essential bank and financial services news in the U.S. and Canada.

LATIN AMERICA

* Venezuela-based development bank Corporación Andina de Fomento issued a three-year, $1 billion bond with a coupon rate of 1.25%. Demand for the bond reached $2 billion.

* Brazilian insurer Porto Seguro SA approved a capital increase of 4.50 billion Brazilian reais in an extraordinary meeting. The increase brings the company's total capital to 8.5 billion reais, Valor Econômico reported.

EUROPE

* Jens Weidmann intends to step down as president of the German central bank at year-end. Weidmann, a vocal critic of the ECB's ultra-loose monetary policy, is said to have grown tired of opposing the ECB's policies and expects disagreements to continue amid a recovering economy and rising inflation, according to the Financial Times.

* British bank Barclays PLC and Nordic lenders Nordea Bank Abp, Swedbank AB (publ) and DNB Bank ASA reported year-over-year increases in their third-quarter attributable profit, while Spain-based Bankinter SA's third-quarter group net income slipped on a yearly basis.

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MIDDLE EAST & AFRICA

* Nayifat Finance Co. set the price range for its upcoming IPO on Saudi Arabia's stock exchange at 29 riyals to 34 riyals per share. The company plans to offer 35% of its issued share capital. The final offer price will be determined following a bookbuilding process set to end Oct. 28.

* Moody's downgraded to Caa1 from B3 the long-term bank deposit ratings of Tunisia-based lenders Amen Bank Société anonyme, Arab Tunisian Bank, Banque de Tunisie Société anonyme and Banque Internationale Arabe de Tunisie Société anonyme, following a similar action on the sovereign's bond rating. The outlooks on the banks' ratings remain negative.

ASIA-PACIFIC

* Shanghai will support innovation in carbon emission allowance-based derivatives and encourage financial institutions to develop more products that consider environmental, social and governance factors, Caixin reported, citing a statement from the Shanghai municipal government.

* Thailand-based Bank of Ayudhya PCL's consolidated net profit grew 39.5% year over year to 27.41 billion baht for the nine months ended September. The net profit includes capital gains from the sale of shares in Ngern Tid Lor PCL, the bank said.

Click here for more of the day's essential financial news in Asia-Pacific.

Adrian Jimenea and Ryan Jeffrey Sy contributed to this report.

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