UK's Saga in talks with Belgium's Ageas for insurance partnership (updated)
02/10/2024 07:42
(Recasts lede, adds background in paragraph 3 and details in
paragraph 7)
Oct 2 (Reuters) - British holiday group Saga SAGA.L
said on Wednesday that it is in talks with Belgian insurer Ageas
AGES.BR for a potential partnership for its insurance
business.
Saga, which specializes in holidays and insurance for people
over 50, has been struggling with its insurance business and a
rising debt pile.
The company has taken measures including increasing prices
at its insurance underwriting business and reducing its
workforce in an effort to control costs.
Sky News, which first reported on the talks between the two
companies on Tuesday, said that under the proposed deal, Ageas
would make an up-front payment to Saga.
Saga did not disclose the amount in its statement on
Wednesday, adding that it was not certain that the deal would
take place.
In March last year, the company tried to sell its insurance
underwriting division but suspended the sale process shortly
after ending talks with Australia's Open Insurance Technologies.
Separately, Saga postponed its half-year results that were
due on Wednesday, but said its first-half performance was
in-line with its expectations.
It did not mention when it would announce the results.
(Reporting by Yamini Kalia and Surbhi Misra in Bengaluru;
Editing by Mohammed Safi Shamsi and Sonia Cheema)
((Surbhi.Misra@thomsonreuters.com | X: https://twitter.com/SurbhiMisra_
|;))