Gears are turning for Barclays (NYSE:BCS) as Qatar moves its remaining warrants. Since 2008, Qatar has possessed a wealth of warrants after a controversial fundraising campaign by Barclays to avoid taking emergency funds. The fundraising brought in 11.5 billion pounds to Barclays.
The fundraising campaign did not go overlooked, as shareholders have complained about Barclays being too generous, and investigations are underway over payments made by Barclays to Qatar in 2008. Britain’s Serious Fraud Office and Financial Services Authority are leading the investigation, but Barclays is receiving scrutiny from the U.S. as well.
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Barclays stock prices fell just over 4 percent as Qatar sold its 379 million warrants to Goldman Sachs Group, Inc. (NYSE:GS) and Deutsche Bank AG (NYSE:DB). This change in stock price comes after a 40 percent gain since July, which in turn came after a sharp drop in June when Barclays was caught trying to rig interest rates and was fined $450 million.
Despite the sale of warrants and the dropping stock prices, Qatar still remains the largest single shareholder Barclays with a 6.7 percent holding, and considers itself a “supportive strategic investor” that has “confidence in the long-term prospects for the business.”
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