Barclays mulls 4bn sale
Barclays is considering the sale of a portfolio of credit assets worth £4bn as it continues to clean up its balance sheet in an attempt to further reassure investors.
A sale would follow last month’s deal in which the bank effectively ring-fenced $12.3bn (£7.8bn) in risky credit market assets by packaging them into a fund, codenamed Protium, and selling them to a new vehicle called C12, which is backed by outside investors and a $12.6bn loan from Barclays.
Barclays, led by chief executive John Varley, is considering either replicating the Protium deal with the £4bn of assets – made up of collateralised loan obligations (CLOs) – or selling to a third-party buyer.
Barclays shares are up 140 per cent since January, but the bank is concerned that investor fears over its toxic assets are preventing a return to pre-crisis prices.