WOOD NOT WILLING TO FLOAT ESURE JUST YET

Online UK insurance operation Esure is one of the little-known byproducts of the UK government’s effective nationalization of Lloyds-HBOS. HBOS had a 70% equity stake in the operation before it was rescued by Lloyds in a government-sponsored shotgun marriage last year. The bank and the government are thought to be keen on a flotation of the high-profile company in order to get some money back. However, Peter Wood, who founded Esure after pioneering non-broker retail cover with Direct Line, which he eventually sold to Royal Bank of Scotland, has confirmed that he would not be seeking a flotation in the current economic climate. Although he has only 30% equity in Esure, Mr Wood has 50% of the voting rights. He has taken a more involved role at the company since former CEO Peter Graham left in May 2006. Mr Wood has also said in the past that he would be willing to buy the bank’s 70% stake at “a reasonable price”.