Treasury to sell off further NatWest shares worth up to £1.2bn
The Treasury has announced plans to sell off another tranche of NatWest shares over the next 12 months, as part of ongoing efforts to return the taxpayer-owned bank to private ownership.
The government, which still holds a 54.7% stake in NatWest, said it was rolling out a “prearranged trading plan” in what could mark its third sale of shares this year.
The trading plan, otherwise known as a “drip” sale, means the Treasury could end up selling up to 15% of the average amount of NatWest shares usually traded over 12 months. That could net the government a maximum £1.2bn based on the current share price, which would be on top of any additional bulk share sales the government chooses to launch over the next year.
However, the Treasury stressed it would only sell shares at a price that represented value for money for taxpayers. The government is expected to take a loss on any sale, having paid 502p a share as part of the bank’s bailout in 2008.
NatWest shares were down 2.3% at 195p in afternoon trading.
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