LONDON (Brand Republic) – Woolwich chief executive John Stewart is expected to be appointed deputy chief executive of Barclays, if the two companies complete their proposed £5.5bn merger.
Stewart’s role will include special responsibility for mortgages and the internet. Richard Meddings, Woolwich finance director, is also expected to gain a senior role.
Both brands are to be retained. It is as yet unclear how many outlets would be closed, as the companies yesterday (August 9) announced hastily drawn-up plans, forced by growing speculation. Some job losses are also a possibility.
Barclays said it wants to incorporate the Woolwich’s brand, management, products and capabilities to accelerate the achievement of its own strategic ambitions, especially in retail financial services.
The bank was thought to have favoured a merger with Abbey National, which would have increased its share in the mortgage market. Abbey National’s share price has began to climb, along with the Alliance & Leicester and Northern Rock which are also regarded as likely candidates for takeover with Lloyds TSB seen as a bidder.
Barclays’ share price fell 49p yesterday while Woolwich shares rose 27%, closing at 341p.