The British banking giant Barclays wants to cram with a capital of 5.8 billion pounds a part of its seven-billion pound financial gap. Barclays boss Antony Jenkins also wants to increase the capital base with division sales and reduce risk.
Seven billion pounds large is the capital gap, the UK’s Financial PRA has recently been identified in the United Barclays Bank – now the Bank is responding. With multi-billion dollar capital measures Barclays boss Antony Jenkins wants to plug the hole. A capital increase to 5.8 billion pounds, the equivalent of 6.7 billion Euros to contribute, the bank said on Tuesday. “Once we have thoroughly examined all the options, we decided to react quickly and determined,” Jenkins said.
Accordingly, the shareholders have the right to one new share for four old pence for 185 shares. This represents a significant discount of 40 percent to the closing price of Monday evening. So that their interests are not diluted, shareholders will receive a purchase right first. In addition, the sale of convertible bonds in the amount of two billion pounds is provided. For Jenkins, the capital is so far the biggest setback since the end of August 2012; he assumed leadership of the bank.
Barclays and other European banks have to increase pressure on the supervisors their buffer. The tougher capital rules to prevent the institutions must be re-run into trouble and rescued with taxpayers’ money. In June, the overseer had spoken on the island with five major banks of a financial gap of 27 billion pounds. In addition to Barclays affected the Royal Bank of Scotland and Lloyds especially. The government in London had the financial crisis will have to take several banks with a total of 66 billion pounds. The busying yesterday on the state budget.
Barclays chart show also announced to have come in the first half of 2013 on an adjusted for special items, pre-tax profit of almost £ 3.6 billion. This represents a decline of 17 percent. The management stressed to remain cautious in the face of the business environment. The company provided a further two billion pounds back for several sales scandals, significantly more than expected.
The Bank’s shares by far the biggest loser in the Stoxx Europe have been showing 50 charts after the announced capital increase. In the morning, the shares of the British financial house lost last more than four percent of Barclays Bank.