U.S. insurer American International Group said on Monday it would sell a major portion of its stake in reinsurer Fortitude Re to buyout fund Carlyle Group and Japanese insurer T&D Holdings for about $1.8 billion.
Following the deal, AIG's stake in the company will drop to 3.5% from about 80%, while Carlyle's ownership in the company will rise to 71.5% from about 19.9%. T&D will have a 25% stake.
The transaction is expected to close in mid-2020.
Willkie Farr & Gallagher served as legal adviser to AIG.
Debevoise & Plimpton was Carlyle's legal adviser, while Oliver Wyman was its financial adviser.
Citi was T&D's financial adviser and Nishimura & Asahi, King & Spalding and Appleby were its legal advisers.