November 25, 2019 / 10:26 PM / 4 months ago

AIG to sell 76.6% stake in Fortitude Re for $1.8 billion

FILE PHOTO: Banners commemorating the 100th anniversary of American International Group Inc. adorn the New York Stock Exchange in Manhattan, New York, U.S. October 10, 2019. REUTERS/Suzanne Barlyn

(Reuters) - U.S. insurer American International Group Inc (AIG.N) said on Monday it would sell a major portion of its stake in reinsurer Fortitude Re to buyout fund Carlyle Group (CG.O) and Japanese insurer T&D Holdings (8795.T) for about $1.8 billion.

Following the deal, AIG’s stake in the company will drop to 3.5% from about 80%, while Carlyle’s ownership in the company will rise to 71.5% from about 19.9%. T&D will have a 25% stake.

The transaction is expected to close in mid-2020.

Willkie Farr & Gallagher LLP served as legal adviser to AIG.

Debevoise & Plimpton LLP was Carlyle’s legal adviser, while Oliver Wyman was its financial adviser.

Citi was T&D’s financial adviser and Nishimura & Asahi, King & Spalding LLP and Appleby were its legal advisers.

Reporting by Abhishek Manikandan in Bengaluru; Editing by Anil D'Silva

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below