Sumitomo Mitsui Banking Corp of Japan had announced the sale of its shareholdings in British bank Barclays. The said share sale is priced to be worth about GBP260 million or US$400 million.
The stake involves 84.5 million shares priced at 308.5 pence per share and was sold through an accelerated share placement. The purchaser of the shares was Nomura and this was confirmed by people familiar with the transaction.
The reason for said share sale, according to SMBC was for the 'capital efficiency' of its parent firm, Sumitomo Mitsui Financial Group.
Back in June 2008, the Japanese financial institution had purchased 169 million shares in Barclays worth 296 pence per share. The purchase was part of a series of fundraising moves by the bank during the financial crisis. According to Thomas Reuters data, the bank still had possession of the shares as of last May. This makes Sumitomo the seventh largest shareholder in Barclays, with shareholdings at 1.3%.
According to records, the share sale to Nomura was completed before the opening of the London Stock Exchange last Thursday.
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