NEW YORK (Reuters) - Citigroup Inc has agreed to sell its private equity unit to Lexington Partners for more than $900 million, PE Hub said on Wednesday, citing multiple sources.
StepStone Group will provide management services for the unit, according to the report.
The sale would mark another step in Citigroup’s efforts to unload its unwanted assets from its Citi Holdings repository. It includes Citigroup’s stakes in bank-branded funds-of-funds, mezzanine and co-investment vehicles, PE Hub reported.
Citigroup sold the portfolio at a slight discount to its net asset value and a small premium to its holding value, according to the report.
Citigroup spokesman Stephen Cohen declined to comment. Representatives for Lexington Partners and StepStone Group did not immediately respond to a request for comment.
Reporting by Maria Aspan