This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/news/business-33765763
The article has changed 6 times. There is an RSS feed of changes available.
| Version 3 | Version 4 |
|---|---|
| Government starts RBS share sell-off | Government starts RBS share sell-off |
| (35 minutes later) | |
| The government has started to sell off its 78% stake in the Royal Bank of Scotland. | The government has started to sell off its 78% stake in the Royal Bank of Scotland. |
| UK Financial Investments, the body that holds the government's RBS stake, said it would offer about 600 million shares, representing 5.2% of the bank, to institutional investors. | UK Financial Investments, the body that holds the government's RBS stake, said it would offer about 600 million shares, representing 5.2% of the bank, to institutional investors. |
| It is expected that the government will make a loss of £2bn on the sale. | |
| Chancellor George Osborne signalled the move in his annual Mansion House speech in June. | Chancellor George Osborne signalled the move in his annual Mansion House speech in June. |
| The UK owns 78.3% of RBS after bailing it out with about £45.8bn of taxpayer cash in 2008. Its stake will fall to 73.2%. | The UK owns 78.3% of RBS after bailing it out with about £45.8bn of taxpayer cash in 2008. Its stake will fall to 73.2%. |
| The government paid about 500p per share for its RBS stake. | The government paid about 500p per share for its RBS stake. |
| Shares in the bank closed on Monday at 337.6p, down 4.6p, valuing RBS at £39bn. | Shares in the bank closed on Monday at 337.6p, down 4.6p, valuing RBS at £39bn. |
| However, institutional investors may be able to buy the shares at a discount to Monday's closing price. | However, institutional investors may be able to buy the shares at a discount to Monday's closing price. |
| One of the bookrunners said that shares would be priced at 330p. | One of the bookrunners said that shares would be priced at 330p. |
| Mr Osborne said in June he was keen to start disposing of shares as soon as possible, and that he aimed to sell at least three-quarters of the stake over the next five years. | Mr Osborne said in June he was keen to start disposing of shares as soon as possible, and that he aimed to sell at least three-quarters of the stake over the next five years. |
| The sale is being handled by Citigroup, Goldman Sachs, Morgan Stanley and UBS. | The sale is being handled by Citigroup, Goldman Sachs, Morgan Stanley and UBS. |
| UKFI and the Treasury said they would not sell any more RBS shares for 90 days after the sale without the consent of the bookrunners. | UKFI and the Treasury said they would not sell any more RBS shares for 90 days after the sale without the consent of the bookrunners. |
| RBS was briefly one of the world's biggest banks by assets after expanding with takeovers and aggressive lending prior to the financial crisis. | RBS was briefly one of the world's biggest banks by assets after expanding with takeovers and aggressive lending prior to the financial crisis. |
| The bank has more than halved its assets to £945bn from £2.2 trillion over the past seven years while also cutting its staff globally from almost 200,000 to just under 110,000. | The bank has more than halved its assets to £945bn from £2.2 trillion over the past seven years while also cutting its staff globally from almost 200,000 to just under 110,000. |