Private sector lenders Kotak Mahindra Bank and Axis Bank are reportedly leading the race to buy Citi’s Indian retail operations.

“Kotak Mahindra Bank has emerged as the most aggressive bidder, Axis is also in the fray. It will be an all-cash deal and the final contours are being chalked out,” the Economic Times reported citing sources.

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The deal, which could value the unit at around $2bn, has not been finalised yet.

During the initial rounds, all details of the book weren’t revealed therefore the lenders are conducting further due diligence.

“The bidders are negotiating the cash payout, fee and commissions they will cough up for Citi’s team to service the consumer book,” the person told the publication.

IndusInd Bank had also placed the bid for the retail unit, however; it is out of the race.

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Earlier the publication reported that DBS, ICICI Bank and HDFC Bank also explored submitting bids but decided against it.

“As compared to Axis, the Kotak team is more keen on bagging the Citi business. It has also been very careful in growing its unsecured book including credit cards,” said one of the sources.

Kotak is eyeing the marquee clientele and retail franchise through the acquisition, which includes Citi’s credit cards, retail banking, home loans and wealth management operations.

The American banking giant is exiting 13 retail banking markets to focus on investment banking.

Last week, Union Bank of the Philippines confirmed that it is in talks with Citi to buy its retail banking operations in the country.