Indian newspaper The Economic Times is reporting
that Barclays has kicked off talks to buy the Asian and European
operations and a deal is likely to be completed this week.
No doubt that Barclays would pick up the units at bargain basement
prices. Strategically though, if Barclays does scoop up Lehman's Asian
unit, it could enhance its growth in the region. At the moment,
Barclays is not a major player in Asia, as Reuters points out.
"Barclays has 5,000 employees in investment banking and investment
management in 11 countries in Asia. It also has retail banking networks
in India and Pakistan," according to the report. Barclays
staffers are mainly focused on debt and derivatives, and the addition of
Lehman's 3,000 employees in Asia are focused primarily on M&A and
equities.
The clock is ticking. The longer Barclays sits on the deal, the more likely bankers will start jumping to rival firms. - Maria Woehr
See TheDeal.com: Barclays to snap up Lehman unit
Barclays plc has acquired Lehman Brothers Holdings Inc.'s North American investment banking unit, but could Barclay's also scoop up Lehman's investment banking operations in Europe and Asia as well?
