AIG has been trying to sell off the Asian Unit , AIA, right at the beginning of 2009, but the offer from various bidders was found to be nowhere near acceptable amount. So the US regulators, who are the major shareholders of AIG, decided to wait.
And their decision seems to be paying off, with Prudential UK, agreeing to buy it out now at 35 billion US dollars, which is twice the amount on offer a year back for the same unit. And the amount could go for cutting down the TARP loan outstanding of AIG by over 25%.
AIG is also in talks for selling few other units over the coming months, which could fetch it another 15 to 20 billion dollars. All these would help the US government cut down on the TARP losses substantially.
AIG Asia unit sale to help in cutting down loans
March - 1 - 2010 - Monday
