Barclays says it will use approximately half of the $9 billion it raised through four Middle Eastern and Asian investors to driver international expansion.
The governments of Qatar, China and Singapore and a Japanese bank all invested in Barclays with Qatar’s state investment firm and a member of its ruling family rumoured to have secured a combined stake of up to 10%.
Sumitomo Mitsui Banking Corporation of Japan will invest up to $1 billion and existing shareholders China Development Bank and Temasek will invest up to $270 million and $400 million respectively.
“About half the capital will be directed at higher (capital) ratios and about half will be directed at new business opportunities,” says John Varley, Barclays chief executive.
The bank plans to open at least 300 new branches by the end of the year in the UK, on top of the 600 new branches opened this year already. This is largely down to the bank’s recently acquired assets in Russia and Pakistan. Bob Diamond, head of Barclays Capital, says there is “a terrific opportunity” to grab market share on Wall Street.