Royal Mail sell off

[Fly]

Royal Mail shares rocket 38% on frenzied first day of trading as fatcats rake in millions

Need I say more 
http://www.mirror.co.uk/news/uk-news/royal-mail-shares-rocket-38-2363930

[Pete]

Weasel weasel weasel  )

[Old Cruser]

What again????

[Pete]

They seem to get everywhere Pam...  )

[therealjr]

Yes Fly you could and should say more.
First let's look at the actual valuation of the shares.
What the governments advisors failed to take into account when valuing the business was the £1bn property portfolio owned by Royal Mail.
If that wasnt bad enough the government have retained the liability for the £10bn deficit in the Royal Mail pension scheme. To use a housing analogy (so beloved of others) its a bit like me selling of my £200k house off on the cheap and then saying to the buyer, "you know the council tax and heating costs are going to be a huge burden for you so I will continue to pay those".

So now to the sell off itself. Let's be generous and ignore the fact that we've been sold something we already owned (anywhere else in the known universe that would be called a con trick and somebody would end up in jail, ah well we can but hope!!)

When the shares were floated they went up in value immediately. Now theres only one reason for that, supply and demand. Large numbers of buyers chasing fewer sellers. Absolutely no other reason whatsoever.
That can only mean one thing. That the buyers still felt the shares were a good buy at a 38% premium. Indicating that they were undervalued.

So now to the misguided belief that because those applying for large amounts didnt get any the 'fat cats' didn't make a profit.
How about a newspaper headline saying George Osborne's Best Man stands to make £50m as a result of the shares he bought.
Now obviously this can't be believed because it was written by those nasty chaps  at the Guardian right?
Ha nice try!!
http://www.dailymail.co.uk/news/article-2455653/George-Osbornes-best-man-Peter-Davies-make-millions-Royal-Mail-shares.html

I would say I look forward to reading the vitriolic right wing debunking of the above but I'm not prepared to go elsewhere to read it.

[Pete]

Good post and good find there Jon. Deserves its own thread.

[Slacker]

The profit from selling on the bargain bin shares goes to the private pockets on quick sell-ons instead of the public purse yet this corrupt government keeps going on about how the public sector has to tighten its collective belt because of the massive deficit.

All in this together  ) ) ) )

[Fly]

My original post was what a lot of people were saying. Yes I've read Slackers post 

'I', realise that originally, the shares would go on sale and would have buyers. Now, it turns into Ebay.
People would want the shares and eventually the original buyers would sell to the highest bidder.
My point was wouldn't it be the fat cats that got the chance to buy the shares and make an immediate profit on them.
I've got a grand in the bank. Where did I get the chance to buy some initial shares. Or do you need to be in the know and have a financial status to be deemed fit to buy them.

Yes Fly you could and should say more.

Couldn't get my head round that comment initially JR. Thought it might be a dig. But couldn't figure out why 
I now see it could have been a compliment. You don't usually post nasties 
Been badly all afternoon and not really with it. Not because of your comment 

Getting sick of being personally pulled down by big headed people that hate bullies et al etc (not on here btw)
I'm keeping of the other place. Well, I'll try my hardest too  )

I'm committed to here now 

[therealjr]

Fly: your original post said 'need I say more?' My opening comment was just a peg to hang my post on. No offence intended whatsoever


Sent from my iPhone using Tapatalk - now Free

[Fly]

I can see that now JR. Like I said. You don't usually post nasties   
The rest of the post stands. Unlike 'other' forums.

[Fly]

And the weasel continues to post part quote's from  herr !!

[therealjr]

It's always easy in these cases to talk from a position of strength and say 'stop the politics of envy why didn't you get off your backside and invest the £250 and make money'.
This is where the 'haves' never understand what's happening in the real world.
Why didn't i do that? Because I'm a have not. I don't have £250 to spare. So the have is £250 ahead of me. He invested, took his money and ran. He's now around £325 ahead of me. He can invest that money again in some other cheap sell off and end up 5-6-700 ahead of me. Because he's a have. So the gap widens between the haves and the nots. And all the time the haves are looking down saying you could do it you just have the politics of envy.
Easy to look down from the top of the hill


Sent from my iPhone using Tapatalk - now Free

[Old Cruser]

Quite right JR.

I wonder what will happen to the Queens Head as the R.M won't now be British for long will it but I suspect eventually the shareholders will be from foreign parts.

[Alsatian]

Quite right JR.

I wonder what will happen to the Queens Head as the R.M won't now be British for long will it but I suspect eventually the shareholders will be from foreign parts.

My money is on either the Dutch or German post 'owning' RM.

[Pete]

Official Royal Mail valuation 'more than £1bn too low'

Chuka Umunna, the shadow business secretary, attacked the government sell-off after a leading City analyst, Panmure Gordon stockbrokers, said the coalition had undervalued the 497-year-old postal service by more than £1bn. Nearly two-thirds of the company is being sold.

Umunna said taxpayers "will not forgive ministers if it turns out they have bungled the sale of this centuries-old institution and sold it on the cheap".

http://bit.ly/17ARKeg