**The US government is preparing to sell its 27% stake in Citigroup, in what would be one of the largest share sales in history.**Some 7.7bn shares in the bailed-out bank will be sold in tranches throughout 2010, the US Treasury said.
The sale would mark another stage in the re-building of confidence in Wall Street’s recovery from recession.
Citigroup, which has posted more than $100bn in write-downs, required three government rescues in 2008 and 2009.
The bank, once one of America’s most illustrious financial institutions, has seen its share price collapse 90% since late 2006 as fears about its financial health grew.
Morgan Stanley has been chosen to underwrite and advise on the sale, though the US Treasury emphasised that the disposal was subject to market conditions.
It is likely that the shares sales will begin after Citigroup reports its results next month.This article is from the BBC News website. © British Broadcasting Corporation, The BBC is not responsible for the content of external internet sites.