Barclays is edging in the direction of a deal to dump its service provider buying arm within the UK that may see it remaining as an investor within the enterprise.
The discussions are ongoing, and a definitive settlement just isn’t considered imminent.
Barclays mentioned in February that it was exploring a sale or partnership for the service provider buying division.
Unusually for such a considerable company deal, Brookfield just isn’t anticipated to pay a consideration for a controlling stake within the unit, however as a substitute would see it bearing the prices related to rising the enterprise.
Estimates of the worth of Barclays’ service provider buying arm have different wildly, starting from lower than $1bn to $2.5bn.
The talks include Barclays able of comparative power underneath its chief govt, CS Venkatakrishnan.
Its shares have soared by near 90% during the last yr as buyers have digested progress within the efficiency of its funding banking arm.
A Barclays spokesperson mentioned: “As we confirmed at our February investor update, we are exploring a number of options for investment in our market-leading merchant acquiring business, including strategic partnerships.
“We’ll present any additional updates sooner or later.”
Brookfield declined to remark.
