Barclays Activist Investor Edward Bramson Sells Entire Stake -- Update
May 07 2021 - 4:40AM
Dow Jones News
By Simon Clark
LONDON -- Edward Bramson's Sherborne Investors said it sold its
entire stake in Barclays PLC, giving up on a yearslong activist
campaign to restructure the bank.
Sherborne, which seeks to influence the strategy of companies it
owns shares in, was one of the bank's biggest shareholders with a
6% stake before the sale. Mr. Bramson unsuccessfully attempted to
join the board of Barclays and petitioned its chief executive,
American banker Jes Staley, to scale back investment-banking
operations in favor of investing more in its U.K. retail bank.
Sherborne began amassing shares in Barclays in 2018, when the
lender's shares traded around GBP2. Sherborne said it sold its
Barclays shares at an average price of GBP1.86. The bank's shares
rose more than 1% to GBP1.80 in early trading in London on Friday.
They have gained 70% in the past 12 months, following a swoon
during the pandemic selloff a year ago.
"It is a pity that the opportunity did not arise to join the
board of Barclays to assist in a turnaround," Sherborne said in a
statement.
A Barclays spokesperson didn't immediately respond to a request
for comment.
Mr. Staley opposed Mr. Bramson's recommendations. He kept a
large investment-banking operation, which proved to be a strong
source of profits during the pandemic.
Sherborne said it had begun building a position in another
unidentified company.
"We think that the new investment will produce better returns
and has a clearer prospect of our becoming engaged in an operating
turnaround, which is the primary contributor to Sherborne
Investors' investment returns," the company said in a
statement.
In the first quarter, Barclays ranked seventh among global
investment banks in terms of revenue, one place behind Credit
Suisse Group AG, the highest-ranked European bank, according to
Dealogic.
Write to Simon Clark at simon.clark@wsj.com
(END) Dow Jones Newswires
May 07, 2021 04:25 ET (08:25 GMT)
Copyright (c) 2021 Dow Jones & Company, Inc.
Barclays (NYSE:BCS)
Historical Stock Chart
From Aug 2024 to Sep 2024
Barclays (NYSE:BCS)
Historical Stock Chart
From Sep 2023 to Sep 2024