S&P: Barclays Bank unaffected

Standard & Poor's said that the ratings on Barclays Bank plc (AA/stable/A-1+) are unlikely to be affected by the announcement that it is still in discussions with ABSA Group Ltd. (owner of ABSA Bank Ltd. (BBBpi/--/--)) relating to the possibility of an offer to acquire 60% of ABSA shares.

S&P said an acquisition would add to Barclays' existing African operation and give it a strong position in the South African market. It would constitute a significant acquisition for Barclays, however, given the size of the potential contribution and the impact on capitalization, group assets, and operating profile.

There is still some uncertainty regarding the financial and commercial profile of any potential offer, and regarding the implementation process (especially given the potential large minority interests), but S&P does not at this stage expect a potential offer to affect the ratings on Barclays.

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