Citigroup is considering buying control of Bank Handlowy, the leading Polish coorporate bank that this week suspended merger talks with BRE bank, a fast growing bank affiliated to Germany's Commerzbank, reports the Financial Times.

The deal, valued at more than $1bn if Citigroup acquired the whole of Bank Handlowy, would be the second European acquisition this year for the US bank. Last week it took over the investment banking arm of Schroders of the UK.