Citigroup (C) Files Prospectus On U.S. 7.7B Shares

Citigroup (NYSE: C) files a prospectus related to the sale of the government's 7,692,307,692 shares of common stock.

This indicate that the government will now start selling it shares.

From the filing:

"The United States Department of the Treasury (the “Selling Stockholder”) is selling up to 7,692,307,692 shares of Citigroup common stock, par value $0.01 per share (the “Common Stock”). On April 26, 2010, Citigroup, the Selling Stockholder and Morgan Stanley & Co. Incorporated entered into an agreement, under which the Selling Stockholder may offer and sell shares of Common Stock from time to time through Morgan Stanley as sales agent or principal. The agented sale of shares of Common Stock, if any, will be made by means of ordinary brokers’ transactions, in block transactions or as otherwise agreed with the Selling Stockholder. Citigroup will not receive any proceeds from the sale of shares of Common Stock by the Selling Stockholder."