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Royal Mail parent soars as takeover by West Ham owner rumoured

Published 17/04/2024, 13:10
Updated 17/04/2024, 13:10
© Reuters.  Royal Mail parent soars as takeover by West Ham owner rumoured

Proactive Investors - Royal Mail (LON:IDSI) parent International Distributions Services PLC jumped over 16% on Wednesday, after reports emerged of a potential takeover bid.

Czech billionaire Daniel Křetínský is readying a takeover bid, according to the Financial Times, having built a 27.5% stake in IDS through his Vesa Equity Investment vehicle.

While no formal offer has been made, UK takeover rules may require him to make a statement today on whether or not he is planning to bid, the report suggested.

Royal Mail was privatised in 2013, but has struggled in recent years, including with efforts to meet its six-day letter delivery obligations.

Previously a lawyer, Křetínský has become an energy tycoon as owner of energy firm Energetický a Průmyslový.

He also holds other stakes in the likes of J Sainsbury PLC (LON:SBRY) and West Ham United, holding around 10% in the former as of 2021 and 24% of the latter last year.

IDS climbed 16.6% to 249.77p on the news.

Read more on Proactive Investors UK

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