13th Aug 2014 07:49
LONDON (Alliance News) - Saga PLC Wednesday said it has acquired a majority stake in Destinology Ltd, an online travel firm specialising in four- and five-star holidays to the United Arab Emirates, the Far East, Indian Ocean and Europe, and said it will have the option to buy the remaining shareholding at a later point.
The deal marks Saga's first acquisition since its initial public offering in May.
In a statement, the provider of products and services primarily tailored for people over 50, said the deal will be funded from existing cash resources within its travel business.
According to Saga's statement, which did not include financial details of the transaction, privately owned Destinology served 30,000 holidaymakers last year. It employs 110 staff at its Bolton head office.
Saga said that Destinology's "key" senior management will remain with the business.
"Destinology is one of the UK's leading travel businesses with strong expertise in online sales and marketing and award winning service so we are very pleased to have brought the business into the group," Saga Chief Executive Lance Batchelor said in a statement.
"It is an excellent fit with our existing travel brands - Saga Holidays, Saga Cruises and Titan Travel - particularly in relation to the demographic it serves, and will enhance our range of travel offers to customers," Batchelor added.
Saga shares were Wednesday morning quoted down 0.9% at 181.34 pence.
By Samuel Agini; [email protected]; @samuelagini
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