Factbox: Details of Britain's Royal Mail share sale

Fri Sep 27, 2013 7:56am EDT

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(Reuters) - Britain's Royal Mail postal service should be worth as much as 3.3 billion pounds ($5.3 billion) when it makes its London stock market debut next month, the government said on Friday as it began taking orders for the selloff.

Following is a summary of the offering:

OFFER DETAILS

- Price range: 260 pence to 330p/shr

- Valuation: The sale gives Royal Mail a market capitalization of between 2.6 billion pounds and 3.3 billion

- Size: The offer represents between 40.1 and 52.2 percent of Royal Mail's share capital, raising between 1 billion pounds and 1.7 billion for government coffers.

- Both the size of the stake and amount raised could be increased by up to 15 percent via an "over-allotment" option, whereby extra shares can be sold if demand is strong.

- In addition, 10 percent of Royal Mail's shares will be given free to the company's 150,000 UK-based staff, representing around 2,200 pounds worth of shares each.

- Post-sale ownership: Britain's holding in Royal Mail is expected to be reduced to between 37.8 and 49.9 percent. If the "over-allotment" option is exercised, this could fall to 30-43.9 percent.

- Investors: Around 70 percent of the offer is expected to go to institutional investors and 30 percent to retail. Minimum spend is 750 pounds in the retail offer and 500 pounds for eligible Royal Mail staff who want to top up their free allocation.

KEY DATES

- October 8: Offer is expected to close

- October 11: Final price will be announced and the shares will begin conditional trading on the London Stock Exchange

BANKS

- Joint global coordinators and joint bookrunners: Goldman Sachs (GS.N) and UBS (UBSN.VX)

- Joint bookrunner and sponsor: Barclays (BARC.L)

- Joint bookrunner: BofA Merrill Lynch (BAC.N)

- Co-lead managers: Investec (INLJ.J), Nomura (9716.T) and RBC (RY.TO) Europe

- Financial adviser to government: Lazard (LAZ.N)

- Banks involved will share a combined fee of up to 1.2 percent of the offer size

($1 = 0.6249 British pounds)

(Compiled by Neil Maidment and Kylie MacLellan; Editing by David Holmes)

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