Saga Share Discussion Threads

[hamhamham1] 23/1/2023 07:39

Up day today IMO....

RNS Number : 4743N
SAGA PLC
23 January 2023

Saga plc

Response to Media Coverage

Saga plc (Saga or the Group) notes recent media coverage about the potential sale of Acromas Insurance Company limited (AICL), the underwriter that is part of its wider Insurance business, and confirms that it is in discussions with regard to a possible disposal of this business.

Saga remains committed to providing a best-in-class insurance offer to its customers. The Board has looked at the opportunities to optimise Saga's operational and strategic position in the insurance market, in line with the evolution to a capital-light business model and the stated objective to reduce debt. It has concluded that a potential disposal of its Underwriting business is consistent with Group strategy and would crystalise value and enhance long-term returns for shareholders. AICL currently underwrites approximately 25-30% of Saga's insurance business.

Discussions are ongoing and there can be no certainty that any transaction will occur. Any disposal of AICL would require regulatory and shareholder approvals. A further announcement will be made in due course.

[christmasworker] 23/1/2023 07:32

Will saga be fined for this

[christmasworker] 23/1/2023 07:31

Did I read about 90 million placing this week

[kulvinder] 23/1/2023 07:21

So RNS to confirm rumours of disposal of the underwriting business is out...

[boll] 22/1/2023 11:57

Saga had already cut back its in house underwriting. This i# the right move as both home and motor insurance marginally profitable business ( except Covid years ). The money and reliable profits cashflo2 are all on the broking side which would be retained.

[koetser] 22/1/2023 09:25

Batty,

I agree. I wanted them to sell the underwriting business 2 years ago, for an estimated £400 million. And the house broker wanted them to do it to (peel Hunt at the time I believe) but Euan as usual (like most CEOs) wait until they are in absolute crisis before applying the medicine .... at a knock down price.
Anyway going forward yes this is the right decision

[battyliveson] 22/1/2023 09:16

I laughed when I saw the Sunday times article, as I had posted on 11 Jan that they should ditch the underwriting arm and just act as an intermediary. Perhaps the CEO reads bulletin boards after all!!!!!

Joking aside I hope they do carry out that element of strategy, as I spent most of my working life in insurance and found underwriting personal lines to be capital intensive and often loss making.

B

[jubberjim] 11/1/2023 23:56

Rather surprised and also relieved that saga didn t take a bigger hit from the shenanigans over at direct line but then dividends have not been part of the saga equation for some time now.

Will tread water for time being not convinced will wait for update before deciding
To get onboard

[battyliveson] 11/1/2023 16:23

I rather hope they ditch insurance underwriting and just keep to a broking model as lower capital and lower risk. Focus on the travel side of business now COVID seems behind us.

I purchased recently and hope we have seen lows and await update on 24th Jan.

B

[0rient] 11/1/2023 09:57

Considering most insurance companies are taking a big whack today due to Direct Lines bad trading update then I’d say things bodes well for us!

[aishah] 11/1/2023 09:03

Langton Capital:

Cruise specialists have reported a significant upturn in demand in recent weeks. Cruise Circle managing director Jason Daniels revealed he was forced to temporarily pause some marketing channels because his sales team ‘could not cope’ with a surge in demand. Cruise365 managing director Anthony Blackmore said ‘Cruise is going through a very big renaissance. December was much stronger than in the previous three years.’

[hamhamham1] 08/1/2023 18:10

ASC, BOO, COST, EZJ, EVR, FSJ, FCH, IGR, IPF, ITV, JUP, WG., KIE, LUCE, MKS, MTRO, OTB, RCH, REVB, RR., SFOR, SAGA, SDRY, SYNT, THG, TRI, TRST, TUI

[scottish007] 04/1/2023 13:12

AISHAH - I can assure you Saga weren’t charging their current prices for cruising in 2012.

[hamhamham1] 04/1/2023 12:22

4 quid will do me, for the short/medium term anyway ;)

[0rient] 04/1/2023 12:12

Same old same old..big funds trash the stock, virtually remove majority of private investors then take the stock right back up!!
SAGA will be the stock of 2023..trading update 22nd Jan. I’m expecting the turnaround to continue and hit £3+ sometime this year

[aishah] 03/1/2023 18:54

Indeed, a steep incline in share price recently. Obviously some see good value here for an insurance business valued at £176m with a couple of cruise ships where holiday prices are what they were in 2012. Throw in fcst p/e 4.48, p/b 0.45, peg of 0.2 and PSR 0.37
Price is up 65% since lows, chart looks good. Obviously dyor

[lyceeuk] 03/1/2023 14:18

great share price rise over the last few weeks and all the monkeys disappear

[aishah] 28/12/2022 08:59

Kernow Asset Management have taken a 3.02% holding.
"We are a contrarian investment manager focused on All-Cap UK equities. We seek opportunities with highly asymmetric return characteristics where the investment thesis is differentiated relative to consensus."

[aishah] 23/12/2022 08:39

Carnival Corporation reports a record $5.1bn in customer deposits in Q4 2022.

"Booking volumes strengthened following the relaxation in protocols, cancellation trends are improving globally, and we have seen a measurable lengthening in the booking curve, across all brands. The momentum has continued into December, which bodes well for 2023 overall as more markets open for cruise travel, protocols continue to relax, our closer to home itineraries play out, our stepped-up advertising efforts pay dividends and our brands continue to hone all aspects of their revenue generating activities.”

[0rient] 21/12/2022 17:20

500p…I’d be back in profit 🤣💰

[hamhamham1] 21/12/2022 14:14

500p sounds good for these and sim for metro

[aishah] 21/12/2022 11:10

50% rise since the lows around 80p recently. Mkt cap only £162m for what is mainly an insurance business.

[hamhamham1] 21/12/2022 10:55

Yay, 120p hit.