Royal Mail worth up to $6.6b at upcoming IPO: Government
LONDON (AFP) - Britain's Royal Mail is expected to be valued at up to £3.3 billion (S$6.6 billion) when it launches on the stock market in October under the group's controversial part-privatisation, the government announced on Friday.
Royal Mail's initial public offering (IPO) is expected to be between 260 pence and 330 pence a share, giving the company a value of between £2.6 billion and £3.3 billion, the government said in a statement.
The Conservative-Liberal Democrat government earlier this month launched plans to sell more than half the state-run postal service - in what is set to be Britain's biggest privatisation in decades.
The announcement is part of the government's strategy to slash the budget deficit, but has sparked anger from trade unions who argue that privatisation will provide a worse service for customers and are threatening to go on strike.