Saga expects to raise £3bn in flotation early next year

Saga has brought in STJ Advisors as it moves ahead with flotation plans, according to The Telegraph.

The flotation, expected early next year, would hope to raise £3bn for Saga parent company Acromas.

Acromas formed in 2007 when private equity firms Permira, CVC and Charterhouse merged Saga and AA.

RBS, Deutsche Bank, Bank of Tokyo Mitsubishi and Barclays are expected to advise on the listing at a later date, according to The Telegraph.

STJ Advisors formed in 2008 and recently floated vodka company Stock Spirit on the London Stock Exchange.

The break-up of Acromas has long been rumoured to take place. Speculation intensified in June when AA issued bonds to refinance part of Acromas’s bank debt.

Saga and AA’s insurance broking operations are big players in the UK general insurance market. The combined operation ranks fifth in the Insurance Times Top 50 Brokers.