LONDON, Jan 18 (Reuters) - Barclays has sold itsoffshore trust business to an independent investor group butwill keep a 20 percent stake in the new company, renamed asZEDRA, for at least three years.
The sale marks another step in the British bank's efforts tosimplify its wealth and investment management activities.
"Barclays holds a minority stake ... which demonstrates ourinterest in the ongoing success of this business," a Barclaysspokesperson said. The bank said in June last year it planned tosell the business following an internal review.
The price was not disclosed.
The independent investor group, led by the Sarikhani andNielsen families, plans to expand the business, which has 300staff and offices in Jersey, Guernsey, the Isle of Man, theCayman Islands, Singapore, Britain and Switzerland.
Under its new management, ZEDRA aims to double the size ofthe business within five years.
"In terms of expansion plans, we will be hiring in all ourmain locations and also offer additional services to existingclients - this is where the growth will come from," new ChiefExecutive Niels Nielsen said.
"Barclays' keeping a stake in the new company sends a signalto clients and staff that it stands behind the business."
The Sarikhani and Nielsen families have significantexperience in trust and financial planning businesses and haveinvested in and contributed to the development of severalfinancial advisory companies including Vistra Group, KineticPartners and Chiltern Group.
(Reporting by Jane Merriman, editing by Louise Heavens)
Barclays (BARC)