Advertisement

  1. National

Barclays plans £5.8bn cash call

Barclays' shares have fallen 5% after it announced plans to raise £5.8 billion from shareholders. City regulators said the bank needed to raise £3 billion in reserve to cover their risks.

View all 7 updates ›

Barclays: Share plan will leave bank in 'stronger position'

Barclays chairman Sir David Walker has said plans to raise £5.8 billion from its shareholders to plug its capital shortfall would leave the bank "in an even stronger capital position".

The Prudential Regulation Authority (PRA) reported last month that Barclays needed to raise £3 billion in reserve to cover their risks.

As a result we expect Barclays to be in an even stronger capital position, allowing us to increase the dividend payout ratio ahead of the original Transform target.

The Board expects that Barclays will continue to reduce leverage further, whilst maintaining target capital levels, and will aim to do so in a way that achieves sustainable returns above the cost of equity.

– Sir David Walker, Barclays Chairman

More top news