Barclays Is Boosted by iShares Sell-Off Hopes

The Evening Standard (London, England), March 16, 2009 | Go to article overview
Save to active project

Barclays Is Boosted by iShares Sell-Off Hopes


Byline: HUGO DUNCAN

BARCLAYS shares rocketed today as it confirmed it was considering the sale of part of its fund management business, and talks continued with the Government about insuring its toxic assets.

The bank said it may sell its iShares division, part of Barclays Global Investors, and "has held discussions with a number of potentially interested parties".

It hopes it could get more than [pounds sterling]4 billion for the business, staving off the need to raise further cash from shareholders, foreign investors or the Government to bolster its balance sheet.

The shares rose 7.4p to 81.5p, giving the bank a market value of [pounds sterling]6.8 billion -- less than double the [pounds sterling]4 billion iShares could sell for. Barclays also said it continues to "perform well" and has had "a strong start to 2009".

The auction of iShares comes as Barclays chief executive John Varley decides whether or not to join the Government's asset protection scheme set up to insure billions of pounds of junk on banks' balance sheets.

Barclays confirmed it was in talks with the Treasury and the Financial Services Authority about the scheme but it wants to pay in cash rather than shares if it joins. Royal Bank of Scotland has already put [pounds sterling]325 billion of toxic assets into the scheme while Lloyds Banking Group has ring-fenced [pounds sterling]260 billion. As a result, the Government's stake could hit 95% at RBS and 77% in Lloyds -- something Varley is desperate to avoid at Barclays.

The rest of this article is only available to active members of Questia

Sign up now for a free, 1-day trial and receive full access to:

  • Questia's entire collection
  • Automatic bibliography creation
  • More helpful research tools like notes, citations, and highlights
  • Ad-free environment

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
Loading One moment ...
Project items
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

Cited article

Barclays Is Boosted by iShares Sell-Off Hopes
Settings

Settings

Typeface
Text size Smaller Larger
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

While we understand printed pages are helpful to our users, this limitation is necessary to help protect our publishers' copyrighted material and prevent its unlawful distribution. We are sorry for any inconvenience.
Full screen

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

Cited passage

Welcome to the new Questia Reader

The Questia Reader has been updated to provide you with an even better online reading experience.  It is now 100% Responsive, which means you can read our books and articles on any sized device you wish.  All of your favorite tools like notes, highlights, and citations are still here, but the way you select text has been updated to be easier to use, especially on touchscreen devices.  Here's how:

1. Click or tap the first word you want to select.
2. Click or tap the last word you want to select.

OK, got it!

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.

Are you sure you want to delete this highlight?