Private equity-backed British financial services provider Saga is planning to raise £550m via an IPO on the London Stock Exchange.
The company, which is backed by Permira, CVC and Charterhouse, said the proceeds will be used to reduce its debt pile to £700m. The IPO is expected to value Saga at £3bn.
Saga focuses on providing services to people over 50 and currently has 2.1m customers.
Over the past three years, Saga has seen its EBITDA grow at an annual rate of 7.4 per cent as revenues rose 4.7 per cent per year. In the fiscal year to end January, Saga posted an EBITDA of £222.4m on revenues of £1.21bn.
Saga executive chairman Andrew Goodsell said, “What began 60 years ago in a small hotel in Folkestone is today one of Britain’s most trusted and respected companies. This is in huge part due to the hard work and dedication of our employees.
“Our customers are at the heart of our brand and I am delighted that they will have an opportunity to become shareholders in the company and to be part of the next stage of our journey.”
Earlier this year Acromas’ private equity backers were said to be seeking a cash injection ahead of a potential break-up.
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