AIG seeks bidders for AIG Investments

by David Masters

Story link: AIG seeks bidders for AIG Investments

Troubled insurance giant American International Group (AIG) is seeking to sell its AIG Investments subsidiary as a part of an effort to pay off its bailout loan from the US government.

Analysts estimate that the global asset-management unit could fetch up to $2.1 billion – a fraction of the $60 billion owed by AIG.

The bidding deadline for AIG Investments has been extended seven days to 12 February to allow bidders to look at the company’s full year results.

AIG’s strategy for repaying its debts is to sell off assets that don’t contribute to its core property and casualty insurance business.

In addition to AIG Investments, AIG is seeking to sell stakes in several Asian life insurance businesses.

AIG Investments manages an estimated $210 billion in assets.