Top-end share price predicted for Royal Mail

<p>High demand is pushing up the expected price of Royal Mail shares.</p>

It is thought that Royal Mail shares will be priced in the higher band of what the government expected them to sell for, after initial high demand.

Up to 62 per cent of the company will be sold, with the rest remaining publicly-owned.

Of that, ten per cent will be handed out to employees within the company – with 150,000 eligible workers set to receive around £2,200 worth each if they are distributed evenly.

A further 30 per cent will be available for individual members of the public to purchase, although they will have to spend a minimum of £750 if they want to be involved in the initial sale.

The value of the shares was initially priced by the government as being between 260 to 330 pence, however with interest in them being so high, it is likely they will sell for between 300 and 300 pence – valuing the company at around £3.3 billion.

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