Government inquiry into Royal Mail IPO

A UK government-commissioned inquiry into the sale of Royal Mail Group will call for changes to the way initial public offerings are managed in London, according to a sources.

The report urges debate among regulators, the stock exchange and companies about how to improve the book-building procedure so that the offer price can be changed later in the process, according to the source.

The probe also found that the government could have raised 20-30p (31-47c) more per share for Royal Mail, the person said, equivalent to as much as £180m.