TOKYO, April 28 — Nomura Holdings Inc. is disposing of a stake in Standard Chartered Plc valued at almost US$500 million (RM2.1 billion) through a stock sale to institutional investors, according to transaction terms.
About 52.1 million shares, accounting for about 1.6 per cent of Standard Chartered’s outstanding stock, were sold at 725 pence, the terms showed, the low end of a previously announced target range. The sale, which began after markets closed yesterday and ended a few hours later, had demand for all the shares on offer. Barclays Plc was sole bookrunner on the deal.
Shares of Standard Chartered, a British-based bank that makes most of its revenue in Asia, fell 2.1 per cent to 725.6 pence at 9:18am in London. Nomura, Japan’s biggest brokerage, is exiting its holding after Standard Chartered shares rallied earlier this week, when the bank beat first-quarter profit estimates. The bank posted its strongest growth in transaction banking revenue in over three years.
The stock had gained about 31 per cent in the last 12 months through yesterday, though it still trades at a steep discount to book value. In August, the UK lender said it would probably miss a profitability target set less than a year earlier, blaming an uncertain regulatory and economic environment.
Additional stock sales in Europe raised US$34 billion this year, as shareholders took advantage of brief market windows to dispose of stakes, according to data compiled by Bloomberg. UBS Group AG ranked first in managing the sales. — Bloomberg
