Gulf lender BBK in talks to buy 20% stake in City broker Panmure Liberum

A major Middle East-based financial institution is in talks to buy a stake in Panmure Liberum, one of the City's most prolific brokers to London-listed companies.

Sky News has learnt that The Bank of Bahrain and Kuwait (BBK) is negotiating the purchase of a roughly 20% holding in Panmure Liberum, according to insiders.

The deal, which remains under discussion and is not certain to be concluded, would be expected to value the UK-based investment bank at about £70m, they added.

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If completed, the transaction will be the latest ownership shake-up since the former Barclays chief Bob Diamond's Atlas Merchant Capital bought Panmure Gordon for £15.5m in 2017.

The broker merged with Liberum nearly three years ago to form what was at the time the biggest broker by volume to London-listed companies.

A deal with BBK would represent a deepening of the relationship between Panmure Liberum and the Gulf-based institution.

The companies announced a partnership last year aimed at bringing Panmure Liberum's investment banking capabilities to BBK's Middle East client base.

At the time, Rich Ricci, the former Barclays executive who runs Panmure Liberum, said: "The partnership gives us access to exciting markets with growing companies.

"Looking ahead, we will work with BBK to forge deep relationships with their corporate clients, supporting them in achieving their growth ambitions and driving shared success."

Over time, analysts believe this may lead to a greater influx of Bahraini and Kuwaiti companies, as well as others from the region, onto the London equity markets.

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Panmure Liberum also has partnerships with Nedbank in South Africa, Australia's Petra Capital and CGSI in Asia.

The talks with BBK come at a time of deep concern about the health of the UK's capital markets, with an exodus of companies fuelled by a combination of takeovers, relisting on overseas exchanges and delistings.

At the same time, a dearth of new arrivals on the London Stock Exchange and its junior AIM market has exacerbated anxiety about the long-term status of one of the world's most important financial centres.

Mr Diamond's swoop on Panmure Gordon came three years after he left Barclays in the wake of the Libor rate-rigging crisis which was partly responsible for an overhaul of bank conduct rules.

Panmure Liberum declined to comment.

(c) Sky News 2026: Gulf lender BBK in talks to buy 20% stake in City broker Panmure Liberum