The sale of Royal Mail to Czech billionaire Daniel Kretinsky will be approved this morning, Sky News understands.
Mr Kretinsky‘s company EP Group will buy the postal service’s parent company International Distribution Services (IDS).
The £5.3bn takeover deal had been agreed in May but was subject to a review under national security laws as Royal Mail is considered vital national infrastructure.
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Royal Mail’s headquarters, tax base, and corporate structure will remain British for five years. The universal service obligation to deliver letters to every address in the UK, six days a week, at a uniform price will also remain.
The government will retain a “golden share” requiring it to approve major changes.
Under the deal, employees will receive a 10% share of any dividends paid out to Mr Kretinsky. A workers’ group will be formed and meet monthly with company directors.
This measure requires union approval and ratification and so will not be announced on Monday.
It comes after the Royal Mail put forward proposed shake-up plans to Ofcom as part of turnaround efforts, including cutting down on some deliveries.
Who is Daniel Kretinsky?
The 49-year-old Mr Kretinsky is ranked 33rd on The Sunday Times Rich List with an estimated net worth of £6bn – up £2bn since 2023.
In 2021 he bought a 27% stake in West Ham United – a deal worth £150m. His EP Group already owned 27.6% of Royal Mail holding company IDS.