American International Group (NYSE: AIG), a global insurance firm, yesterday announced that it is selling a 9.9% stake in its Life & Retirement Business to Blackstone for $2.2 billion.
As part of the agreement, AIG also entered into a long-term strategic asset management relationship with Blackstone. It will see Blackstone manage an initial $50 billion of Life & Retirement’s existing investment portfolio, increasing to $92.5 billion over the next six years.
The closing of these transactions is expected to occur by the end of the third quarter. As a result, Jon Gray, President and CEO of Blackstone, will join the Life & Retirement Board of Directors.
Ready to put what you’ve learned into practice?
Try IG’s platform with £10,000 in virtual funds and practise trading
without putting your own money at risk.
Try IG with a demo account →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
Learn the markets with IG Academy
Build your knowledge with IG Academy educational content, then use a
demo account to practise what you’ve learned on the IG platform.
Explore IG →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
See how trading works before risking real money
IG’s demo gives you access to thousands of markets and £10,000 in
virtual funds, so you can explore the platform and test your ideas first.
Open an IG demo →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
Turn trading theory into practical experience
Learn with IG Academy, explore charts and market tools, and practise
strategies in a simulated trading environment before going live.
Start practising with IG →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
Ready to take your learning further?
IG combines market education, analysis and an established trading platform,
giving you the tools to keep learning as you develop your trading skills.
Discover IG →
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider.
Furthermore, AIG will sell certain affordable housing assets to Blackstone Real Estate for $5.1 billion in an all-cash transaction.
AIG said the transactions provide it with significant financial flexibility and support its progress towards separating its Life & Retirement business.
“Today’s announcement is an important milestone for AIG. Establishing a cornerstone partnership on several fronts with such a highly regarded organization as Blackstone validates the strength of our market-leading Life & Retirement business,” said Peter Zaffino, President and CEO of AIG.
Zaffino added, “We look forward to a productive and value-enhancing partnership with Blackstone.”
AIG’s share price is currently up 5.80% at $49.10 following the announcement.
Should You Invest in AIG Shares?
One of the most frequently asked questions we receive is, “what stocks are best to buy right now?” It’s a wide-ranging question, but one that we have answered… Our AskTraders stock analysts regularly review the market and compile a list of which companies you should be adding to your portfolio, including short and longer-term positions. Here are the best stocks to buy right now
