Direct Line IPO nears take-off

 
David Hellier
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L Bank of Scotland is widely expected to officially launch the sale process for the IPO of its insurance unit Direct Line as early as tomorrow, sources said last night.

Some say that the float, which will be the largest in London this year if it goes ahead, will value the business at around £3bn. But there are concerns that the sale, which is being forced on the bank by regulators, is taking place at a less than ideal time.

The IPO is being led by Goldman Sachs, Morgan Stanley and UBS.