Why buy the cow when you can have the milk for free?: Barclays would love to increase it's investment banking business in the U.S. But with the credit crunch causing disarray at so many U.S. investment banking firms, swallowing an entire firm might not be necessary when they have opportunities to snag both staff and business anyway. While they didn't rule it out completely, they'd only buy a whole bank at a distressed price. Barclays wouldn't be averse, however, to buying a U.S. wealth management business. (Like maybe Neuberger & Berman?). Barclays Capital head Bob Diamond spoke to the Financial TImes:
“The US opportunity in investment banking for Barclays Capital is a generational one. How often have we seen six or seven of our biggest competitors deflected because of the issues they are facing?” he said.
“In the US, we would love to find an acquisition in wealth management, with particular focus on high-net-worth individuals, to kick-start our growth plans,” he said.
Mr Diamond appeared to quash rumours that Barclays could bid for Lehman. He declined to comment on Lehman, whose share price has lost 77 per cent of its value over the past year, but indicated that Barclays would wait at least until prices hit distressed levels.
“I have consistently said that in investment banking, our strategy is to grow organically and hire the right people,” he said. “It would take a very, very attractive opportunity to change that. I think that is highly unlikely but not impossible.”
Barclays sees potential in US - Financial Times
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