Hedge fund tycoon takes a £65m stake in insurer

THE hedge fund boss dubbed The Rottweiler has doubled his stake in insurer Esure just weeks before its Go Compare arm is split off.

Martin Hughes, who runs Toscafund, is now one of Esure’s biggest shareholders, with a 10pc stake worth £65m.

It is not known what Toscafund’s intentions are with Esure, whose shares have lifted 24pc in the past year, but the firm and Hughes have built reputations for pushing for change at the businesses they invest in.

Toscafund has raised its stake in Esure over the past few months from 21.5m to 41.9m shares.

It comes after Esure revealed it was to split from online comparison site Go Compare.

Esure will list Go Compare, which it took control of two years ago, to create a ‘standalone digital technology business’. Chairman Peter Wood, the biggest shareholder in Esure with a 30pc stake, will remain at the top of both companies.

Toscafund said no one was available to comment.