Axis Bank has cleared another hurdle in completing its acquisition of Citibank’s consumer business in a deal worth Rs 12,325 crore.

The Competition Commission of India (CCI) has given its approval to the proposed deal. 

As per the deal announced on 30 March, Axis Bank would take over Citi's credit cards, personal loans and wealth management businesses that are focused on the affluent segment.

"Commission approves acquisition of Citibank, N.A.’s and Citicorp Finance (India) Limited’s undertakings comprising of their consumer banking activities by Axis Bank," CCI said in a tweet on Tuesday.

The CCI keeps a tab on unfair business practices across sectors and needs to clear deals beyond a certain threshold.

Axis Bank, in a statement on 30 March, said that the “acquired portfolio would increase the bank’s credit card customer base by ~31% with an additional 2.5 million cards, which will in turn bolster the cards’ balance sheet position to be amongst the top three players in the Indian market. Moreover, the wealth and private banking portfolio will add great value to the Axis Burgundy business, further accelerating its growth ambitions in that segment. On an overall basis, the proposed transaction will add ~7% to the bank’s deposit base (with ~12% increase in CASA) and ~4% increase in advances.”

A day before, Axis Bank managing director and chief executive officer Amitabh Chaudhry said the acquisition of Citibank’s consumer business in India is expected to be completed by the fourth quarter of the current financial year.

The bank is working on integrating people, technology and business operations with Citi, Chaudhry said on Monday at a media call after the quarterly results.