Czech Sphinx raises stake in strike-weary Royal Mail for the second time this week

[TrueBlueTerrier]

https://www.thisismoney.co.uk/money/mar ... -week.html

Royal Mail’s largest investor has increased his stake for the second time this week as the firm remains locked in crisis talks with unions.

Daniel Kretinsky, a Czech billionaire, upped his holding in parent company International Distributions Services to 25 per cent from 24 per cent through his vehicle Vesa Equity.

It followed a disclosure this week that he raised his stake from 23 per cent to 24 per cent and is likely to fuel speculation that the ‘Czech Sphinx’ is considering a buyout.

Under City rules, an investor must make a takeover offer for a firm if their stake reaches or exceeds 30 per cent.

Royal Mail bosses met unions yesterday to try to resolve a long-running industrial dispute amid reports it could call in administrators if more strike action is announced by the Communication Workers Union, which represents 115,000 postal workers.

Royal Mail has said strikes would ‘threaten the job security’ of its posties.

Tim Symes, insolvency specialist at law firm Stewarts, said no deal could have ‘potentially catastrophic consequences’.

He added: ‘Once it goes into administration there will be an immediate need to cut costs, and so significant amounts of jobs are at risk.’