A document detailing the recovery of Equity Red Star, IAG’s UK business, has been released to a targeted group of potential acquirers, providing a further signal that the business is for sale.

According to UK media reports, Evercore, the investment banking advisory firm appointed to conduct the recently announced strategic review of IAG’s UK operations, has begun floating a prospectus-like document in the UK market.

The document is reportedly more focused on the remedial measures that have been implemented over the past few years at the loss-making business than its current financials.

An IAG spokesman told insuranceNEWS.com.au the group has not issued a prospectus for the business, but confirmed it has appointed an adviser to assist with the strategic review.

Last month IAG announced it would review its UK business to determine its future direction.

“Exploring options for a potential sale of all or part of the business” was listed by IAG as one of the possible outcomes.

IAG says the review could also lead it to change strategies in the UK to create a more specialist motor offering or try to continue to improve the business under its current operating model.

The group will provide an update on the review when the company reports its full-year results in August.