International Petroleum Investment Company (IPIC), an investor in the hydrocarbon sector outside the Emirate of Abu Dhabi, said Tuesday that it intends to dispose of certain of its interests in Barclays.

MAIN FACTS:

-PCP Gulf Invest 1, a wholly-owned (indirect) subsidiary of IPIC, holds 9.75% Mandatorily Convertible Notes due Sep. 30, of Barclays Bank (MCNs). PCP Gulf Invest 1 intends to dispose of the ordinary shares of Barclays for which the MCNs are exchangeable by means of an accelerated bookbuild. The MCNs owned by PCP Gulf Invest 1 are convertible into 1.3bn shares of Barclays.

-In addition, PCP Gulf Invest 2, a wholly-owned (indirect) subsidiary of IPIC, is considering the disposal of its 14%. Step Up Callable Reserve Capital Instruments of Barclays Bank (RCIs). PCP Gulf Invest 2 owns a total of GBP1.25bn of RCIs.

-Credit Suisse Securities (Europe) is acting as sole bookrunner with respect to the potential disposals and has commenced bookbuilding for the ordinary shares. It is anticipated that the books will close on or before Jun. 3.

-With regards to IPIC's indirect interest in the warrants of Barclays issued to IPIC's wholly-owned (indirect) subsidiary, PCP Gulf Invest 3 on Oct. 31, 2008, there is no current intention to exercise, sell in the market or hedge any such warrants.

-By London Bureau, Dow Jones Newswires; +44 (0)20 7842 9296; ian.walker@dowjones.com