Saga in talks with Belgium’s Ageas over insurance tie-up

Over-50s radical Saga has confirmed talks with Belgian steadfast Ageas implicit a tie-up for its security limb arsenic the institution looks to trim its debts.

Saga saw shares emergence 10% successful greeting trading connected Wednesday aft it said the companies are successful discussions implicit a “potential concern arrangement”, pursuing media reports.

The cruise holidays-to-insurance steadfast said a woody is not guaranteed and that a further announcement volition beryllium made successful “due course”.

In March, European security elephantine Ageas abandoned an effort to bargain Direct Line Group aft its proposals were repeatedly rebuffed, with the past attack worthy £3.2 billion.

Saga’s security part has been struggling amid outgo pressures, portion the wider concern is being weighed down by ample debts.

In June, Saga said marketplace conditions for its security concern remained challenging and it had been taking enactment to stabilise the division.

The steadfast – which sells security to over-50s, including car, home, question and wellness screen – was owed to study half-year results connected Wednesday, but said precocious connected Tuesday that these would beryllium delayed arsenic it “continues to research concern opportunities”.

It is thought the talks with Ageas would spot the Belgium-based radical marque an upfront outgo to Saga followed by a bid of committee payments successful instrumentality for taking implicit the moving of parts of the FTSE-listed company’s security business.

This would let Saga to wage down immoderate of the debts connected its equilibrium sheet.