British government to sell majority stake in Royal Mail

The UK government said it will sell a majority stake in 360-year-old Royal Mail via an initial public offering by the end of March.

Staff will get 10% of the shares for free, on condition they hold them for three years, and retail investors will be offered stock on the same terms as institutional buyers, business secretary Vince Cable told the House of Commons yesterday.

“We will retain flexibility around the size of the stake to be sold,” Cable said. “This will be influenced by market conditions, investor demand and our objective to ensure overall value for money for the taxpayer.”