The bank expects a record year for client activity in its investment banking business in South-east Asia
[SINGAPORE] Citi expects a record year for client activity in its investment banking business in South-east Asia, driven by an uptick in mergers and acquisitions (M&A) and a rise in artificial intelligence-related financing in the region.
In the year to date, the bank’s investment banking revenue for Asean is 35 per cent up year on year, Citi said on Monday (Oct 19), citing Dealogic data.
Matthew Nimtz, Citi’s head of investment banking for Asean, said: “Asean is one of Citi’s key regions globally. “It is home to a growing number of world-class corporates and emerging champions who are increasingly using capital markets at competitive levels to fund growth ambitions.”
The bank reported strong third-quarter earnings on the back of strong global investment banking activity, including in Asean. Citi does not disclose the geographical breakdown of its investment banking revenue.
Citi, citing Dealogic figures, noted that in the year to date, the overall M&A deal value in the region is up more than 30 per cent on year at US$140 billion.
Issuances in equity capital markets and debt capital markets were up by similar margins, surpassing US$180 billion in value.
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Citi said that in 2026 thus far, it has been involved in Asean M&A transactions worth nearly US$20 billion, and that it has taken part in capital market deals that have raised nearly US$25 billion for regional clients from global capital markets.
These included advising Indonesia’s telecommunications operator Indosat on the setting up of data centre platform Zankore, along with supporting equity and debt financing. Citi also advised KKR and Singtel on their US$10.9 billion acquisition of ST Telemedia Global Data Centres.
The bank has also led to close to 30 transactions for Asean issuers so far.
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In Singapore, it led public equity transactions for UI Boustead Reit, CapitaLand Integrated Commercial Trust and CapitaLand India Trust.
Elsewhere in the region, it was involved in international bond offerings in the Philippines, PLN in Indonesia, Advanced Info Service in Thailand and Maybank in Malaysia.
Nimtz said: “We are seeing associated M&A as local corporates go global and increasingly lean into Citi’s leading global network for key strategic financings and advisory work.”
The bank expects a “very active final quarter” for 2026, with key financings in debt and equity capital markets in its pipeline.
Inbound and outbound M&A activity will likely also be driven in sectors such as tech, consumer and healthcare, it said.
Earlier in October, Citi reported a 40 per cent on-year rise in third-quarter profit to US$5.25 billion, helped by stronger investment banking revenue and transactions with multinational companies, as well as higher wealth management earnings.
Global investment banking revenue exceeded US$90 billion in the first nine months of the year, and Citi was placed fifth among global banks by fees during the period, said Dealogic.