Telegraph.co.uk, 15 Nov 2008, Mark Kleinman and Louise Armitstead
The London-headquartered bank, whose emerging markets focus has so far allowed it to escape the banking crisis, has asked bankers at JP Morgan Cazenove to draw up options of potential sources of fresh capital if the decision is made to boost its capital base.
Standard Chartered has said it would not issue capital under the Government's scheme, provided to recapitalise the British banking system following the financial crisis. But in recent weeks, the bank's shares have plummeted on concerns a global recession could severely weaken its balance sheet. However, it remains comfortably within regulators' capital requirements.
If Standard Chartered does raise its capital ratios, it is likely to tap strategic investors for cash. Its largest shareholder is Temasek, the sovereign wealth fund owned by the Singaporean government, which holds a 19pc stake.
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