Britain launches postal service privatization

 LONDON: Britain's government on Thursday officially launched plans to privatize more than half of Royal Mail, saying an initial sale of shares in the state-run postal service would occur within weeks.

  "Her Majesty's Government today announces its intention to proceed with an initial public offering of Royal Mail," said a joint statement, which added that the IPO was "expected to take place in the coming weeks".

"Her Majesty's Government today announces its intention to proceed with an initial public offering of Royal Mail," said a joint statement, which added that the IPO was "expected to take place in the coming weeks".

  The government had in July announced plans to privatize more than 50 percent of Royal Mail following a major restructuring of the organization in recent years, triggered by fierce competition from email.

Royal Mail was expected to be Britain's biggest privatization since the 1980 sell-offs of former nationalized giants British Gas and British Telecom.

   Media reports say the part sale of Royal Mail could be worth up to £3.0 billion ($4.74 billion, 3.57 billion euros). The government previously said that it would take on Royal Mail's historic pension deficit.

Awanish Singh

PGDM 3rd