Acquisition

RNS Number : 7668R

SAGA PLC

01 July 2015

 

Saga plc

Saga completes Bennetts acquisition
1 July 2015

Acquisition highlights

·     Saga has paid £26.26 million in cash for the entire share capital of Bennetts

·     Bennetts is the most customer-endorsed bike insurer in the market, with over 220,000 customers

·     Saga already provides insurance services for 20,000 customers with motorbikes

·     75% of Bennetts' customers are aged over 40, with the UK's over 50s accounting for nearly a third of all spending on motorcycling activities in 2014

Saga plc ("Saga") today announces that it has completed the acquisition of Bennetts, the UK's premier motorbike insurer. The acquisition further broadens the range of insurance solutions offered to customers.

Bennetts, which Saga agreed to acquire from BGL Group earlier this year, provides insurance cover for more than 220,000 customers. Approximately half are within Saga's target demographic, allowing Bennetts to benefit from access to Saga's database of 10.8m people.  In turn, Saga will benefit from further cross selling opportunities for its existing products and services.

Bennetts fits well with Saga's increased focus on digital orientated businesses, with a successful online social network, 'bikesocial', that sees over 300,000 visitors per month.

Lance Batchelor, Group CEO of Saga, commented:

"We are delighted to have completed the acquisition of Bennetts, enhancing our excellent range of insurance products and services.  The over 50s' growing share of the motorbike market in the UK makes Bennetts an excellent fit with Saga's current insurance offering.  Bennetts' model of providing insurance solutions via a panel is also in line with our cash generative, capital efficient strategy, and will aid our ambition to drive growth through our high quality insurance division."

ENDS

For further information, please contact:

Saga plc
Tim McCall - Director of Corporate Affairs Duncan Browne - Investor Relations Manager	+ 44 (0) 20 7654 2729   [e-mail] [phone] [e-mail]
Paul Green - Director of Communications	[phone] [e-mail]
FTI Consulting
Paul Marriott / Lucinda Kemeny	[phone] / 1580 [e-mail]  [e-mail]

 

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