Saga Group expects IPO to be priced at 185-245 pence/share

(Reuters) - Over-50s holidays-to-insurance group Saga Group Ltd said it expects its initial public offering of shares to be priced at between 185 pence and 245 pence each, implying a market capitalisation of up to 2.5 billion pounds.

Saga, which has grown from its origins as a travel company in the seaside town of Folkestone to a major insurance player, said last week that it planned to raise a net 550 million pounds from the IPO to pay down debt.

($1 = 0.5894 British pounds)

(Reporting by Richa Naidu in Bangalore; Editing by Ted Kerr)