Folkestone-based Saga targets its products at the over-50s

The Kent-based group, which sells its products to the over-50s, said advisers were exploring ownership options.

It comes 30 months after the business, founded in Folkestone in 1951, was sold in a �1.35bn management buyout backed by private equity firm Charterhouse.

A deal could trigger fresh windfalls for thousands of staff and management who jointly own 20% of the business.

Charterhouse, which owns 80% of the company, set up an employee share scheme at the time of the takeover in 2004.

New ventures

The business, started by Sidney De Haan, was sold by his son Roger, who gave staff a one-off bonus of �1,000 for every year of their service.

It now employs more than 3,850 people - 28% more than at the time of the takeover.

New ventures include a holiday and cruise programme, a service for buying property overseas, health clubs, equity release and long-term care funding.

Chief executive Andrew Goodsell said Saga had made "excellent progress".

"We are well ahead of expectations, and consistently outperforming our business plans," he said.

"The management team and Charterhouse agree that this is an appropriate time to consider the best future ownership structure."

Saga said its shares could be floated on the Stock Exchange in the second half of the year, although it stressed that nothing had been decided yet.

The idea was first considered in 2004 but then dropped in favour of the management buyout.

"It is too early in the process to predict the outcome this time, but we will be making further announcements in due course," said Mr Goodsell.