Saga narrows stock market float price to lower end of the range

Michael Bow
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OVER-50s holiday and insurance provider Saga yesterday narrowed the price it will sell shares in its forthcoming float at the lower end of the range following an offer to retail investors.

Saga said it had narrowed the price range to 185p to 205p after closing the books on the offering to Saga customers. The original range had been 185p to 245p.

Chief executive Andrew Goodsell said the company wanted to maintain a “positive aftermarket” in shares following the listing.

A number of floats this year have gone underwater beneath their issue price, leading investors to question the high valuations seen in the first quarter of the year.

“The retail offer has now closed, showing exceptional demand, and we continue to see strong momentum in the institutional offer,” Goodsell said. Saga is set to start trading on 29 May.