AIG sells part of Corebridge shares to Nippon Life | for $3.8 billion Insurance business America
Insurance giant retains 9.9% stake
Insurance News
By Terry Gangcuangco
American International Group (AIG) has agreed to sell approximately 120 million shares of its Corebridge common stock to Nippon Life Insurance Company for $3.8 billion.
The stake sold by AIG represents 20% of Corebridge’s outstanding shares. Following the transaction, AIG will retain a 9.9% stake in Corebridge for at least two years following closing.
Peter Zaffino (pictured), Chairman and CEO of AIG, expressed confidence in the deal, saying: “Nippon Life is well-known in the financial services industry for its leadership in the Japanese insurance market and is recognized globally for its strong performance and corporate reputation .” .
“We are pleased that Nippon Life has become a strategic partner of Corebridge and believe they will add significant value as an investor.
“I have great respect for the president [Hiroshi] Shimizu and admire his visionary leadership of Nippon Life, known for its impressive capabilities and the high quality of services and benefits it provides to 15 million customers.”
The sale is expected to close in the first quarter of 2025, subject to customary closing conditions and regulatory approvals. Wachtell, Lipton, Rosen & Katz acted as legal counsel to AIG, while JP Morgan Securities served as financial advisor.
At the time, Zaffino said, “AIG entered 2024 with very strong momentum in executing on our strategic and operational advances while delivering exceptional financial results that reflect the fundamental capabilities we have built over the past few years.”
“In addition to outstanding profitability, this quarter was also highlighted by the significant capital management actions we completed, placing AIG in a strong position ahead of the deconsolidation of Corebridge Financial from AIG.
“While reducing our stake in Corebridge in 2024 remains a top priority, we continue to diligently implement our capital management strategy.”
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2024-05-17 10:53:21
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