Royal Mail joins big league with FTSE 100 debut

Newly-listed Royal Mail has entered the FTSE 100 index of the UK's largest companies following a huge move in its share price post-IPO.

Having listed at 330p in October, shares surged on the first day of trading as the float price - widely acknowledged to have undervalued the company - enticed hundreds of thousands of private buyers to have a punt on the shares. On its first day of trading in the blue chip index shares have slipped, down 2% to stand at 579p. However, this level represents a 75% rise from its IPO price. The business now has a market cap of £5.8bn. The initial listing was as much as seven times oversubscribed, and many would-be institutional buyers were unable to get their hands on the much coveted shar...