Royal Mail owners agree to £5B takeover offer

The board of the company owning Royal Mail has accepted a £5 billion takeover offer from Czech billionaire Daniel Kretinsky. The deal includes commitments to maintain the company's name, brand, UK headquarters, and tax residency, as well as protect employee benefits and pensions. The UK government has the power to scrutinize and potentially block the deal under the National Security and Investment Act. Royal Mail, facing financial losses, is obligated to provide a universal service but has struggled with performance. Kretinsky's offer includes pledges to uphold the universal service, retain the brand, and respect union demands. The deal is subject to shareholder approval at the next annual general meeting in September. Kretinsky, known for his investments in energy, retail, and logistics, has diversified his interests and amassed significant wealth. The Department of Business and Trade expects bidders for Royal Mail to engage with ministers. The future of Royal Mail and its services remains a topic of scrutiny and negotiation as the takeover process unfolds.