Saga halts Titan Travel sale as coronavirus worries weigh
Over-50s insurer Saga is said to have halted the sale of one of its travel businesses as the coronavirus outbreak sparks chaos across the tourism industry.
Advisers to Saga have postponed the auction of Titan, which operates escorted tours, cruises and rail journeys to various destinations around the world.
A number of private equity firms were lining up to bid on the tourism business, which is estimated to be worth more than £100m, Sky News reported.
The decision to pause the sale highlights the impact of the coronavirus on the tourism sector.
Last week both British Airways owner IAG and Easyjet warned that 2020 bookings would be harmed by the virus, as airlines cancel flights to affected areas and passenger demand wanes.
Businesses have also moved the block their employees from travelling, with both Goldman Sachs and Twitter rolling out a ban on non-essential travel.
Mobile World Congress, an annual telecoms conference that attracts more than 100,000 visitors to Barcelona, was due to take place last week but was scrapped by organisers after a string of high-profile companies pulled out.
The health scare could prove particularly damaging to cruise companies after thousands of people were put under quarantine on the Diamond Princess. Six passengers have now died.
It comes at a challenging time for Saga, which has come under pressure to sell subsidiaries amid a steady decline in its share price.
The firm has carried out a shake-up of its top management team, including the appointment of former Superdry boss Euan Sutherland as chief executive.
Saga has also put its care business up for sale amid pressure from activist investor Elliott Advisors. Saga declined to comment.
Main image credit: Saga