SG CIB closes US power business - rivals point to dollar funding constraints

Societe Generale La Defense

Société Générale Corporate and Investment Banking (SG CIB) is closing its North American physical power and natural gas business less than 11 months after acquiring the franchise – a decision other market participants chalk up to the increasing scarcity of US dollar funding. The bank will remain active in the energy and commodity derivatives markets.

In a statement provided to Risk yesterday confirming the closure of the gas and power business bought from RBS Sempra Commodities in January, SG CI