Capital One Financial Corp said it agreed to sell to Citigroup Inc its $7 billion portfolio of private label and co-branded credit card accounts linked to electronics retailer Best Buy Co Inc. Capital One, which is among the largest credit card issuers in the United States, said there would be no significant gain or loss on the transaction. It did not disclose the selling price.Private label cards are commonly called store cards and can be used only at a single retailer. Co-branded cards can typically be used elsewhere.Separately, Citigroup said it would issue and manage Best Buy credit cards in the United States in a deal that would not affect its earnings this year materially.The transactions are expected to close in the third quarter, Citigroup said.
Best Buy Co., Inc. is a multinational retailer of consumer electronics, computing and mobile phone products, entertainment products, appliances and related services. Shares of BBY traded higher by 2.9% or $0.49/share to $17.36. In the past year, the shares have traded as low as $11.20 and as high as $27.95. On average, 10929400 shares of BBY exchange hands on a given day and today's volume is recorded at 8718661.
Citigroup Inc. is a global diversified financial services holding company whose businesses provide consumers, corporations, governments and institutions with a broad range of financial products and services. Shares of C traded higher by 1.78% or $0.78/share to $44.62. In the past year, the shares have traded as low as $24.61 and as high as $44.68. On average, 34497000 shares of C exchange hands on a given day and today's volume is recorded at 10698463.
Capital One Financial Corporation is a diversified financial services holding company. Shares of COF fell by 0.96% or $-0.518/share to $53.51. In the past year, the shares have traded as low as $47.99 and as high as $62.92. On average, 4661000 shares of COF exchange hands on a given day and today's volume is recorded at 4187875.
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