October 13, 2015 / 8:07 AM / 3 years ago

Britain sells remainder of Royal Mail stake for 591 million pounds

A Royal Mail post box is seen in central London July 11, 2014. REUTERS/Neil Hall

LONDON (Reuters) - The British government has sold the remainder of its stake in Royal Mail (RMG.L), earning 591.1 million pounds ($907.87 million) from its 13 percent holding and opting to gift its remaining 1 percent stake to Royal Mail staff.

The government said on Tuesday that it completed the disposal of a 13 percent stake through an accelerated book building process to institutional investors at a placing price of 455 pence.

Royal Mail shares had closed at 472.2 pence on Monday, just before the government announced it planned to divest its final stake.

The government said arrangements were underway to give the final 1 percent shareholding to Royal Mail’s eligible UK staff.

The disposal ends the government’s involvement in the 500-year-old postal operator whose privatization in 2013 attracted criticism from opposition politicians and trade unions who said the firm had been sold off too cheaply.

($1 = 0.6511 pounds)

Reporting by Sarah Young; editing by Kate Holton

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