CNBC has learned Citigroup (C) plans to announce as early as Thursday a plan to pay back the $45 billion in TARP money it received last year, partly with help from $20 billion in capital raised through a future equity offering.
According to CNBC’s Maria Bartiromo, who cites sources close to the situation, Citigroup CEO Vikram Pundit has changed his travel plans to be able to announce an equity offering, which would be similar to that of Bank of America (BAC), (BofA sold $19.3 billion of shares last week and said Wednesday it had completed repaying its $45 billion borrowed through TARP).
Meanwhile, earlier on CNBC, Citigroup chairman Dick Parsons said that the bank has been discussing repaying the TARP with regulators.
It seems that Citigroup may be able to beat Wells Fargo (WFC) in the race to exit the TARP and free itself from the pay restrictions that came with the government capital injection.
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