Bramson’s broadside in battle with Barclays

THE corporate raider demanding a seat on Barclays’ board has insisted its investment arm must be hacked back to boost shares.

As the war of words escalated, US- based Edward Bramson accused Barclays bosses of pursuing a flawed strategy which will cost investors money.

The latest broadside came ahead of the lender’s annual meeting next month when Bramson hopes to win a shareholder vote making him a non-executive director.

He is thought to favour massive cutbacks to the lender’s prized investment banking arm.

In the letter to Barclays’ backers, Bramson’s fund Sherborne Investors stated: ‘The stubbornly low valuation that the market accords to the shares of Barclays will continue until the board finally adopts a strategy that is more realistic and shareholder-orientated.’

Barclays has urged shareholders to vote against Bramson’s appointment to its board.

In its own letter last week, the bank claimed Bramson does not understand the industry and would be unable to work with other directors in a fair and open way. But 68-year-old Bramson insisted he could play a useful role on the board by offering an alternative point of view.

He said: ‘It seems to us that a board comprised of 12 or more senior business people should be able to accommodate and resolve occasional differences of perspective and arrive at better and more sustainable outcomes for shareholders than a board that cannot.

‘An alternative voice on the board would seem to be healthy for the company and its shareholders.’

It came as shareholder advice group Glass Lewis issued a scathing attack on Bramson, and urged investors to vote against his appointment to Barclays’ board.

Barclays declined to comment last night.