Saga nets Nestor in a sweetened £124m deal

 
David Hellier
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SAGA, which specialises in offering services to the over 50s in the UK, said yesterday it would buy Nestor Healthcare for about £124m.

Nestor investors will receive 110p in cash for each share, a premium of about four per cent to the stock’s Friday close, the companies said.

Under the terms, Nestor will pay a second interim dividend of 2.5p per share for the year ending 31 December in lieu of a final dividend.

Nestor provides services to health and social care customers in the UK.

Saga, which is owned by private equity group Acromas, had first made an offer for Nestor in August and sweetened its bid in October and November. Saga said it had the support of over half of Nestor’s shareholders, including the company’s directors.

Nestor shares were up 3.8 per cent at 109.75p immediately after the announcement.