Barclays are staying tight-lipped over press reports that it has held merger talks with US bank Wells Fargo. Speculation has resulted in shares in Barclay’s plc rising in anticipation of a tie-up with Californian-based bank.
A merger would create a financial giant reported to be the world’s fourth biggest bank worth around $180 billion (£96 billion).
The Sunday Express report, citing sources close to both banks, said talks took place in October and November of last year. It added that talks drew to a close over Christmas, but could be resumed in coming weeks.
Barclays was the focus of takeover speculation in August, when it was linked to US bank Citigroup.
Ray Boulger, senior technical manager at Charcol, said: “I can’t believe that if the deal happened it would have great repercussions on brokers.”
Kevin Morgan, managing director of Consilium Financial Planning, said: “There has been lots of speculation about Barclays but I am surprised to hear that they have been linked with Wells Fargo.
“I can’t see a deal having a major impact on brokers but it depends on how someone like the Woolwich fits into a global strategy.”
Andy Pratt, chief operating officer at Alexander Hall, said: “I can’t see it throwing up many implications for the broker. The Woolwich have good products and are reasonably priced but there are always reservations about the service.
“I don’t believe a deal like this will affect these issues but it would be a positive step if it did.”
Barclays and its intermediary arm The Woolwich declined to comment on market speculation.
