Barclays wins Amec as latest broking client

David Hellier
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BARCLAYS continued the growth of its corporate broking business by winning the mandate to act as joint broker to Amec, the FTSE 100 listed engineering group, alongside Bank of America Merrill Lynch (BofAML).

The appointment comes just days after Amec abandoned plans to make a £700m bid for Kentz, the oil services group. Amec was being advised on the deal by Deutsche, whose broking relationship with the group has now officially ended.

Barclays, which has a strong energy team in the US that it largely inherited from Lehman, has taken its number of FTSE 350 clients to 38. It has registered nine broking wins in 2013 including names like Compass, Dixons, Tesco and Randgold Resources.

The Amec win gives the bank 16 FTSE 100 clients including BHP Billiton, Legal & General, Severn Trent, National Grid and IAG. Broking does not make any money in itself, although it is considered highly useful in winning profitable corporate finance business.

BofAML, although joint brokers to Amec, did not work on the Kentz deal because it was advising a rival bidder.