Barclays Private Equity will buy division in future profit exchange

Steve Dinneen
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MANAGEMENT at Barclays Private Equity (BPE) will buy out the banking giant’s private equity division in a deal involving no up-front cash.

Ownership will be transferred in exchange for a share of BPE’s future earnings over a period of several years, according to the Financial Times. Barclays and BPE were both unavailable for comment last night.

It is understood BPE will also shake up its management structure by appointing Guillaume Jacqueau, a managing director in Paris, as its new boss. He will also replace Gonzague de Blignières as head of its Paris office.

This represents a major shift from the “three-pronged” leadership structure previously in place, with Gonzague de Blignières, Peter Hammermann and Paul Goodson in charge. Owen Clarke, a managing director in London, will be named chief investment officer.

The BPE acquisition follows a similar proposal earlier this week by Lloyds Banking Group to separate its private equity arm from the group.

Bank of America Merrill Lynch and Citigroup have already completed similar deals.