Last checked at 1 Dec 2015 12:45
Saga plc
Disposal of Allied Healthcare
1 December 2015
Saga plc ("Saga"), the UK's leading provider of products and services primarily tailored for the over 50s, is pleased to announce the sale of Allied Healthcare ("Allied") to Aurelius Group ("Aurelius"), a mid-market, pan-European investor.
Saga will receive total consideration of up to circa £19m. A one-off contribution of circa £10m will be made by Saga to the Allied pension fund, which will transfer as part of the transaction.
As previously announced, Saga fully wrote down the value of its Allied business to zero as at 31 January 2015. Saga now expects to recognise a small net profit on the sale in the current year's accounts.
Lance Batchelor, Chief Executive Officer, commented:
"Allied remains a market leader in the provision of domiciliary care to local authorities and the NHS. However, as outlined earlier this year, it does not fit with the Saga business model. I am therefore pleased to announce the successful completion of the sale process to Aurelius and I am confident this will be a good home for Allied."
Saga retained Greenhill to act as financial adviser on the transaction.
END
For further information please contact:
Saga plc
Tim McCall, director of corporate affairs Tel: 07753 561862
Email: tim.mccall@saga.co.uk
Paul Green, director of communications Tel: 01303 776023 / 07714 414859
Email: paul.green@saga.co.uk
Duncan Browne, investor relations manager Tel: 07766 755 765
Email: Duncan.Browne@saga.co.uk
FTI Consulting
Paul Marriott / Lucinda Kemeny Tel: 020 3727 1341 / 1580
Tom Blackwell Tel: 020 3727 1051
Email: paul.marriott@fticonsulting.com
Lucinda.kemeny@fticonsulting.com
tom.blackwell@fticonsulting.com
Notes to editors
Saga is a leading provider of products and services primarily tailored for customers over the age of 50 in the UK. The Saga brand has been carefully developed over the past 60 years to become one of the most recognised and trusted brands among UK consumers aged over 50. Saga is synonymous in the UK with the over 50s market and is recognised for its high quality, award winning products and services. These include cruises and holidays, insurance, personal finance, healthcare and the Saga Magazine.
saga.co.uk