(18 November 2024 – United Kingdom) Barclays Bank is reportedly in early discussions with Brookfield Asset Management regarding the sale of an 80 percent stake in its merchant acquiring business.
According to Sky News, Barclays would retain a 20 percent share.
Barclays announced in February that it was considering either a sale or partnership for the division, which has struggled to remain competitive against rising players such as Stripe, Adyen, and Dojo.
It has been reported that valuation remains a challenge, with prospective investors hesitating at the initial cost. In December, Barclays reduced the business’s valuation by £300 million. Further complicating matters, the recent acquisition of Barclays’ partner Takepayments by Global Payments could impact revenue streams.
While Brookfield is not expected to provide an upfront payment for the stake, substantial investment will be required to modernise products and replace outdated payment infrastructure. The Canadian asset manager brings experience in merchant acquiring, having acquired Network International last year.
Speaking on the potential deal, insiders note that the talks are still at an early stage and subject to ongoing negotiations.