The UK government has given the green light to Czech billionaire Daniel Kretinsky's £5.3 billion ($6.69 billion) acquisition of International Distribution Services (IDS), the parent company of

Royal Mail, according to a report by the Financial Times on Monday.

The announcement is expected as early as Monday morning, the report noted, citing individuals familiar with the matter.

Neither IDS nor the Competition and Markets Authority (CMA), the UK's competition regulator, have responded to Reuters' requests for comment.

Kretinsky and IDS initially reached an agreement in May, but the deal faced significant government scrutiny, particularly in the context of an upcoming election year.

Royal Mail, renowned for its iconic red post boxes adorned with the Royal Crest, has faced challenges in recent years, including labour strikes, increased competition, and a shrinking market share. Adding to its woes, the postal service was hit with a £10.5 million fine last week by the UK media regulator for failing to meet delivery performance targets over the past year.

As part of the deal, the UK government will retain a "golden share" in the company, granting it special governance rights over the postal service, the Financial Times reported. Photo by Ross Holdway, Wikimedia commons.