July 26 Barclays Plc is in the final
stages of executing a plan to boost its capital levels that will
likely involve the bank issuing billions of pounds worth of new
securities, the Wall Street Journal reported, citing people
familiar with the matter.
The bank is likely to unveil its plans to sell convertible
bonds and, potentially, new common stock when it announces its
second-quarter results on Tuesday, WSJ said.
The bank is looking at filling a capital deficit of 7
billion pounds, recently identified by U.K. regulators, and to
put to rest investors' doubts about its capital position, the
Journal said. ()
The plans are still subject to change, partly because
Barclays executives are still in talks with officials at the
U.K.'s Prudential Regulation Authority (PRA) to make sure its
proposed actions will satisfy the agency's new capital rules,
The PRA in June surprised investors by telling banks they
needed to have a 3 percent leverage ratio, and said Barclays
fell short with a ratio of only 2.5 percent after adjustments.
The agency gave Barclays until the end of July to say how they
A Barclays spokeswoman declined to comment on the report,
citing the bank's policy of not commenting on speculation.