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Saga plans £250m bond issue to strengthen finances

Over-50s travel and insurance group Saga plc has launched a £250 million pound bond offering as part of several initiatives to “improve its financial flexibility”.

It has also launched a tender offer for up to £100 million of existing bonds and will repay a £70 million loan.

The company said the transactions “deliver against Saga’s strategic priority to strengthen the balance sheet”.

Saga has mandated Barclays Bank, HSBC Bank, Mizuho International and NatWest Markets to carry out roadshows for the offering.

The company’s travel operations resume from June 27 with sailings around the British Isles.

It described cruise load factors as “strong” at 77% for 2021-22 and 48% for the following 12 months.

However, earlier this month it was forced to change two UK cruises on Spirit of Discovery (pictured) following the Scottish government’s decision to ban passenger vessels from calling into the country’s ports.

MoreSaga confirms travel restart ‘a priority’

Saga changes two UK cruises to avoid Scotland

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