Menu
Save, make, understand money
You are currently viewing archived content which could be out of date

Investing

Royal Mail worth up to £3.3bn as float plans released

Nick Paler
Written By:
Posted:
27/09/2013
Updated:
27/09/2013

The Royal Mail is to float next month, with the company valued at up to £3.3bn, the government has said.

The Treasury said this morning that Royal Mail would list on the London Stock Exchange in October, with shares priced between 260p and 330p.

If shares achieve the upper limit, it gives the company a value of £3.3bn.

The government intends to sell between 40.1% and 52.2% of the Royal Mail under its privatisation proposal, it added.

The privatisation has captured investors’ attention, with a chance to own part of the post office proving very attractive.

Richard Hunter, head of equities at Hargreaves Lansdown, said there had already been significant interest from private investors registering for the Royal Mail share offer.

Sponsored

Why Life Insurance Still Matters – Even During a Cost-of-Living Crisis

Sponsored by Post Office

“Once the Prospectus published, and the Share Offer is open, we will see how much of this interest translates into people applying for shares,” he said.

The share offer will close on Tuesday 8th October.