Barclays launches £5.8bn rights issue after £2bn mis-selling hit

Barclays said the capital raising plans, designed to meet the Prudential Regulation Authority's leverage ratio target of 3% by June 2014, will see it issue stock at 185p per share, a 40% discount to yesterday's closing price. The bank will also issue £2bn of convertible debt and shrink its balance sheet in a bid to close a funding gap of some £12.8bn, it said. Barclays shares slumped 5% to 293p this morning as the plans were revealed. The announcement came as Barclays reported a 17% drop in H1 pre-tax profit to £3.59bn, prompted by £640m in costs as a result of its 'Transform' rest...