Britain to float Royal Mail in coming weeks
LONDON (REUTERS) - Britain embarked on its largest privatisation in decades on Thursday when it said it would float the majority of the near 500-year-old Royal Mail postal service.
Britain said a stock market flotation would take place in the coming weeks with the public able to buy into the postal network and 10 per cent of shares given to Royal Mail staff.
It said the size of the sale would depend on market conditions with analysts suggesting the flotation could value Royal Mail, which traces its roots to a service founded by King Henry VIII in 1516, at 2-3 billion pounds (S$4-S$6 billion).
"HM Government will retain flexibility around the size of the stake to be sold, as this will be influenced by market conditions at the time of the transaction, investor demand and the objective to ensure that value for money for the taxpayer is achieved," the government said in a statement.