Esure eyes retail allocation for IPO Esure's owners are considering offering shares in the motor insurer to retail investors, to capitalise on a brand made famous by the late Michael Winner's "Calm down, dear" television ads. The group led by Peter Wood, the entrepreneur, has been encouraged by the take-up of the public in Royal Bank of Scotland's flotation last year of Direct Line, people with knowledge of the matter said. The company, advised by Deutsche Bank and JPMorgan Cazenove, is considering filing a formal intention to float with the London Stock Exchange within weeks. No firm decision had been taken on the float or retail allocation, the same people said. Private investors have been largely excluded from London listings in recent years, meaning they have to wait to buy shares on the market after the IPO. There was no retail allocation in several high profile London listings, such as Glencore's. Bankers complain that involving the public can be more complex, expensive and time-consuming than dealing only with institutions. But Direct Line bucked the trend in October: some 25,000 individual investors applied to take part in its spin-off from RBS, accounting for about 15 per cent of the shares offered. Nigel Morris, director of Solid Solutions Associates, the managers and consultants of retail share offer, which was involved in the Direct Line IPO, said: "The retail success of Direct Line shows to CEOs that retail can be done." Esure is also said to be receptive to the idea in part because its brand is well-known among consumers. The other shareholders include Tosca Penta, which is managed by private equity group Penta Capital. Esure also owns half of Gocompare.com, the price comparison site, and its insurance brands include Sheila's Wheels. The company, expected to sound out institutional investors for a stock market listing, is keen to approach US-based investors given that they took a higher stake than usual for a European IPO in Direct Line's listing. Mr Wood, who founded Esure after he led efforts to set up Direct Line, has insurance interests in the US as a director of the Boston-based Plymouth Rock Assurance. Some analysts have indicated that the financial results Esure released last year imply the company's shares should be valued at between £300m and £500m. However, people close to Esure have been much more bullish, maintaining its growth prospects suggest it was likely to have a market capitalisation of more than £1bn. Direct Line shares have rallied 28 per cent since its stock market launch. RBS still holds about 65 per cent but must dispose of another chunk of shares this year to comply with state aid rules. Hastings, another motor insurer, has also been considering a flotation. Before October, Admiral was the only car insurance specialist in the FTSE 350. Esure declined to comment.