Insurance company American International Group agreed to sell a 20% stake in Corebridge Financial to Nippon Life Insurance for about $3.8 billion in cash, according to a May 16 news release.
AIG owns more than 50% of Corebridge, which had $390 billion in assets under management and administration as of March 31. The firm will sell the 20% stake for $31.47 per share and agreed to maintain 9.9% of the business for two years after closing, which is expected to take place in the first quarter of 2025.
AIG managed $152 billion in assets as part of its individual retirement business, and had $126 billion in assets under administration in its group retirement business as of March 31. Nippon Life had ¥93.55 trillion ($663.1 billion) in assets as of Dec. 31.
“Nippon Life is well known in the financial services industry for its leadership in the Japanese insurance market and is globally recognized for its strong performance and corporate reputation. We are pleased to have Nippon Life become a strategic partner to Corebridge and believe that they will add meaningful value as an investor,” said AIG Chairman and CEO Peter Zaffino in the release.
