UK Government kicks off £1.5bn Royal Mail float, as strikes threaten pricing

By Andrew Griffin
12 Sep 2013

The UK government launched its long-awaited £1.5bn privatisation IPO of Royal Mail on Thursday, but a large target deal size and the possibility of strikes could take their toll on pricing — although not execution.

The deal is likely to value the firm at around £3bn-£4bn. The government will dispose of a majority of the company, with some 10% to be distributed free to around 150,000 eligible employees.

The commitment by the government to sell the majority of its stake is intended to ease ...

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