UKFI unveils new trading plan
Government says Lloyds Bank share sale extended
The UK government has extended the trading period for selling Lloyds Banking Group shares to the middle of next year.
It will terminate before the government starts selling shares to individuals, and “no later than June 30, 2016, said UK Financial Investments, which manages the sale of government-owned assets.
It is intended that up to, but no more than, 15% of the total trading volume may be sold over the duration over the trading plan and will depend on market conditions.
In a statement, UKFI said: “As with all disposals, delivering value for money for the taxpayer is a key consideration and shares will not be sold below the average price per share paid for them.”
Over the past year, the government has raised about £11.2 billion from selling shares at an average price of more than 81p. This has cut its stake to 9.2%.
Morgan Stanley will continue to manage the trading plan.
Lloyds shares closed at 73p yesterday, down 2% on the day.
Goldman Sachs International is acting as privatisation strategy adviser to UKFI. Freshfields Bruckhaus Deringer is acting as legal counsel to UKFI in respect of English and US law.