Barclays plans India ECM relaunch

Barclays Plc is preparing to restart its equity capital markets business in India after nearly a decade, targeting a market characterized by a surge in share sales. The renewed focus comes as India ranks among the busiest markets globally for fundraising through equity issuance.

Pramod Kumar, chief executive officer of Barclays India and vice-chairman of investment banking in Asia-Pacific, described equity capital markets as an important product missing from the bank’s wholesale banking offering in the country. He indicated that re-establishing this capability will take time, likening the effort to getting something off the ground from ground zero.

Kumar acknowledged current weakness in broader capital markets but said India is expected to maintain a strong fundraising environment. He cited support from both retail and institutional investors as a key underpinning for continued share sale activity.

Barclays is backing its strategic shift with fresh investment into its India platform. Over the past five years, the bank has injected more than £500 million of capital into its India business, underscoring the country’s importance within its global operations.

The firm is investing across its investment bank, which is described as the largest part of its India franchise, as well as in its corporate and private banking units. Over the past year, Barclays has added bankers and is deploying more resources into technology to support the expansion.

These moves are aimed at broadening the range of products and services available to clients in India, with the planned equity capital markets relaunch filling a notable gap. The build-out is intended to position the bank to compete for mandates as companies tap public markets for capital.

Barclays has been operating in India’s GIFT City for about five years and plans to keep investing there. The financial hub offers fiscal and tax advantages that the bank sees as supportive of its growth plans.

The continued focus on GIFT City complements Barclays’ broader investment in Indian operations, including technology and staffing. Together with the planned return to equity capital markets, these initiatives form part of a multi-pronged strategy to deepen the bank’s presence in one of its key growth markets.