Barclays has agreed to sell its Asia-based wealth and investment management business as part of its continued disposal of non-core businesses.
The Singapore and Hong Kong based investment management business has been sold to Bank of Singapore Limited for approximately US$320 million.
Commenting on the sale, Jes Staley, Barclays Group CEO, said: “On 1 March I announced we would accelerate the rundown of Barclays Non Core, which is key to creating a simpler, more focused core bank. The sale of our Wealth and Investment Management business in Singapore and Hong Kong marks further progress in our aggressive pursuit of Non Core cost and risk weighted asset reductions.”
The move is the latest in a series of disposals by the bank, which has faced significant fines in the US and Europe over its involvement in benchmark fixing scandals. It also settled a case over disclosure of information in its dark pool, paying a fine of US$150 million to the US Securities and Excahnge Commission earlier this year.
In February is offloaded a portfolio of non-core derivatives to JP Morgan and disposed of its New York Stock Exchange designated market maker business in January.
The deal with Bank of Singapore will see the business sold for 1.75% of assets under management at the completion of the transaction. As of 31 December assets were US$18.3 billion.
The sale is expected to complete by the end of the 2016 subject to court approval in Singapore. Barclays said it was have no impact on its corporate and investment banking operations in Asia.