Citizens Financial in an SEC filing disclosed that Royal Bank of Scotland (RBS) is planning to further reduce its stake in lender in a secondary offering.
Though no financial terms or timing of the sale were given in the filing, media reports suggest that the deal could come together next week.
Quoting a person familiar with the matter, The Wall Street Journal reported that RBS – which currently owns a 41% stake in Citizens -could cut its stake in the bank to between 20% to 25%.
In an IPO last year, RBS raised nearly $3.46bn by selling nearly 25% of its stake in Citizens.
RBS, which is majority owned by the British government, last year announced that it would divest itself of Citizens by 2016.