Global bank Citi has decided to close its hedge fund services office in Waterford by the end of this year.

The bank said yesterday the decision was part of a wider global restructuring of this activity by the group aimed at achieving greater efficiencies.

This decision to close down will affect 50 employees in Citi located in the IDA's Waterford Business & Technology Park.

Redeployment
It is understood that staff were informed of the decision yesterday.

It is expected that redeployment opportunities in Dublin will be offered to about 25 of the staff.

In a statement issued to The Irish Times , Citi said: "Due to restructuring in our global operations and the consolidation of our businesses to core operating hubs, of which Dublin is a key component, Citi will cease operating from its Waterford office by the end of 2013.

“Citi will support any employees who are affected by changes within our organisation.

“Citi employs 2,200 in Dublin, and remains committed to its operations in Ireland.”

The office in Waterford was originally established in 2005 by Bisys, an outsourcing company specialising in work in the financial services sector.

This company was acquired by Citi two years later as part of a global transaction valued at $1.45 billion.

Foreign banks
Citi is one of the largest foreign banks operating in Ireland and has a significant operations in the IFSC.

It has had a presence in Ireland since 1965, and it was one of the first foreign banks to open an office in the country.

In addition to its full-time staff, it also employs about 300 people here on contracts.

Citi is part of New York-based Citigroup Inc, which is publicly listed.