Deal revealed for Railtrack shareholders

Railtrack shareholders are to get 245-255p per share from a deal announced today.

But they will have to wait until about January 2003 for the first instalment - of around £1.60-£1.80.

And if they do not want to wait, they will have to take their chances on selling on the stock market, when trading in Railtrack shares reopens today.

The share offer has come about from a deal involving not-for-profit company Network Rail, which is buying Railtrack plc out of administration for £500 million.

Railtrack shares, which were once as high as £17, were suspended at 280p when former Transport Secretary Stephen Byers forced Railtrack plc into administration last October.

Today's deal also involved the London & Continental Railways company paying £295 million for the first phase of the Railtrack-owned Channel Tunnel high-speed rail link, with Network Rail paying £80 million to operate and maintain the link.

After days of delay the deal was finally announced this morning by Railtrack Group, which is not in administration.