AIG Launches $20 Billion Auction Of Its Asian Unit
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The Financial Times reported that yesterday AIG (NYSE: AIG) began working on the sale of its Asian life assurance unit. AIG is hoping by selling this unit it could raise up to $20 billion to help repay the US government loan.
AIG sent the American International Assurancesales memo with limited information to a group of selected potential investors, according to the FT. The FT said first-round bids are due towards the end of February.
Some of the bidders include: China Life, HSBC (NYSE: HBC), ManuLife Financial (NYSE: MFC), Allianz (NYSE: AZ) and Prudential Financial (NYSE: PRU).
The FT reported that AIG had asked the interested bidders to bid for 49% of AIA, but said it would be willing to look at all offers for all of the unit.
The large size of AIA could force prospective buyers to form consortium to buy the company.
If you can say there is any jewel in AIG's crown, the AIA unit is said to be AIG's prized possession. Last year, it made an aggregate operating profit of about $2 billion.
American International Group, Inc. (AIG) is a holding company which, through its subsidiaries, is engaged in a range of insurance and insurance-related activities in the United States and abroad.
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AIG sent the American International Assurancesales memo with limited information to a group of selected potential investors, according to the FT. The FT said first-round bids are due towards the end of February.
Some of the bidders include: China Life, HSBC (NYSE: HBC), ManuLife Financial (NYSE: MFC), Allianz (NYSE: AZ) and Prudential Financial (NYSE: PRU).
The FT reported that AIG had asked the interested bidders to bid for 49% of AIA, but said it would be willing to look at all offers for all of the unit.
The large size of AIA could force prospective buyers to form consortium to buy the company.
If you can say there is any jewel in AIG's crown, the AIA unit is said to be AIG's prized possession. Last year, it made an aggregate operating profit of about $2 billion.
American International Group, Inc. (AIG) is a holding company which, through its subsidiaries, is engaged in a range of insurance and insurance-related activities in the United States and abroad.
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