Debevoise & Plimpton is advising American International Group Inc. on the $6.45 billion sale of its remaining stake in Hong Kong spin-off AIA Group Ltd.
AIG will place 1.65 billion ordinary shares of AIA with certain institutional investors at about $3.91 apiece, the New York-based insurance giant said in a statement. The net proceeds from the deal, which is expected to close Dec. 20, will be used for general corporate purposes.
The divestiture of AIG’s entire stake in AIA is part of broader fund-raising effort by the company to pay back the U.S. government for a $182 billion bailout in 2008. AIG last week announced the $4.32 billion sale of a majority stake in its aircraft leasing company, International Lease Finance Corp., to a consortium of Chinese investors.
AIG first spun off AIA, which operates in 14 Asian jurisdictions, in a 2010 initial public offering on the Hong Kong Stock Exchange that brought in $20.5 billion. The company sold a total of $8 billion in shares in AIA in two other placements this year, $6 billion worth in March and $2 billion in September.
Debevoise Hong Kong partner Drew Dutton is acting for AIG on this most recent $6.45 billion share sale. He also served as lead counsel for the company on the AIA public offering and the two share placements earlier this year.
Linklaters Hong Kong partners Pamela Shores and Craig Dally are acting for joint lead global coordinators Deutsche Bank AG and Goldman Sachs Group Inc. and joint bookrunners Citigroup Inc., JPMorgan Chase & Co., and Morgan Stanley. The firm represented the underwriters on AIG’s previous two placements as well.
Email: tbrennan@alm.com.
