RBS shares (5%) being sold- too cheap?

[truck71]

Was listening to Harriet Baldwin getting a grilling from Mr Humphry on R4 this morning, she wasn't convincing. Are they too cheap? Only going to large investors apparently, what's the significance of this?

http://www.bbc.co.uk/news/business-33769906

Edited by truck71 on Tuesday 4th August 08:49

[truck71]

zbc said:

Zod said:

This is the first tranche and was designed to test the market appetite. There will be a large retail offering at some stage. There is no point waiting until the share price exceeds the buy-in price as that could take years. Indeed with such a large government holding, there is a good chance it would not do so on any acceptable timeframe.

This. With more shares available in the market it will also make pricing more accurate in future.

Gotcha. Do you anticipate the balance being offered in one go or will they go in batch's?