AIG raises $500m selling AerCap stock
NEW YORK (Bloomberg) — American International Group said it raised net proceeds of about $500 million selling stock of AerCap Holdings NV as the insurer completed its departure from the aeroplane-leasing business.
The sale of 10.7 million shares ends AIG's stake in AerCap, the New York-based insurer said late on Tuesday in a statement. The shares, which closed at $48.01 prior to the announcement, were sold at $47.60 apiece, AerCap said in a separate release.
AIG had been seeking to exit plane leasing since 2008, the year it took a US bailout. It acquired the AerCap stake last year as part of the sale of International Lease Finance to the Schiphol, Netherlands-based company. AIG sold most of its AerCap stock in a June offering when shares were priced at $49.
“The sale of our remaining ordinary shares of AerCap marks a further step in our efforts to enhance intrinsic value,” AIG chief executive officer Peter Hancock said in the statement. “It adds to AIG's financial flexibility and provides us with an opportunity to maximise shareholder value.”
AIG has continued to sell assets after repaying the US. Citigroup and Goldman Sachs Group were hired to lead the latest offering.
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