05 September 2015

Lloyds sells 70% esure stake to founder Wood

11 February 2010  |  5814 views  |  0 add to basket

Lloyds Banking Group has agreed the sale of its 70% stake in esure to the online insurer's founder and chairman Peter Wood for around £185 million in cash.

Wood founded esure - which offers home, motor, travel and pet insurance - in 2000 as a joint venture with Halifax after handing over control of DirectLine to the Royal Bank of Scotland.

Lloyds - 43%-owned by the tax payer - acquired the insurer last year when it took over failing parent Hbos.

With Lloyds looking to dispose of assets, Wood is now leading a management buyout vehicle called esure Group Holdings, backed by Tosca Penta Investments, set up for the deal by Toscafund and managed by Penta Capital.

The company's staff will continue to be employed by esure Services, says Lloyds.

Archie Kane, group executive director, insurance, Lloyds, says: "This sale means we can focus our efforts on our core general insurance brands of Halifax and Lloyds TSB."

Separately, Lloyds unit Bank of Scotland is closing its Irish retail operations, costing 750 jobs.

A phased closure of Bank of Scotland (Ireland) retail operations will begin in May and end in July, covering 44 branches, a customer service centre in Dundalk and direct support functions. Retail products are no longer being offered and customers will be contacted this month.

Comments: (0)

Comment on this story (membership required)
Log in to receive notifications when someone posts a comment

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board, sign up now.

Related blogs

Create a blog about this story (membership required)

Related stories

22 May, 2009
03 November, 2008
30 August, 2006
25 June, 2003

Related company news


Who is commenting?

Finextra Member Commented on: HSBC to rebrand Britsh...
Finextra Member Commented on: Zapp to use behavioura...

Top topics

Most viewed Most shared
Third of Brits expect day-to-day mobile pa...
8566 views comments | 40 tweets | 15 linkedin
PayPal rolls out personalised URLs for P2P...
5872 views comments | 34 tweets | 19 linkedin
UK boosts contactless limit to £30
5867 views comments | 31 tweets | 20 linkedin
Behold the contactless jacket
5686 views comments | 23 tweets | 18 linkedin
MasterCard extends startup search globally
5412 views comments | 14 tweets | 5 linkedin

Featured job

to $120K base, double OTE, benefits
New York City, NY or Boston, MA (USA)

Find your next job