Royal Mail given £3bn value

<p>The government has valued Royal Mail at around £3 billion.</p>

The UK government has revealed details of its proposed privatisation of Royal Mail, which is set to go through a stock market flotation next month.

Royal Mail has been valued at between £2.6 billion and £3.3 billion and the organisation is due to list on the London Stock Exchange next month.

It is expected that the sale will go through by October 15th, reports BBC News, which could be before any strike action by unhappy workers can take place.

The government previously claimed that ten per cent of the shares, which are set to be priced between 260p and 330p, are to be given to Royal Mail employees. Between 40.1 per cent and 52.2 per cent of the Royal Mail is being sold by the government under its privatisation proposal.

Business secretary Vince Cable recently claimed that the move is a necessary one if the future of the company is to be secured. He said: "These measures will help ensure the long term sustainability of the six days a week, one-price-goes-anywhere universal postal service."

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