AIG announced that it has entered into an agreement to sell 100 percent of its shares of AIG Finance (Hong Kong) Limited (“AIG Finance”) to China Construction Bank Asia for $70 million in cash, subject to typical closing adjustments, plus the repayment of intra-group indebtedness and deposits of approximately US$557 million.
The transaction is subject to the satisfaction of certain conditions, including approvals by appropriate regulatory authorities.
AIG Finance is a leading issuer of credit cards in Hong Kong, operating as a restricted license bank that offers a variety of financial products and services. As of June 30, 2009, AIG Finance had more than 500,000 customers, total net loan receivables of HK$4.8 billion and a retail deposits balance of HK$1 billion.
Deutsche Bank acted as financial advisor to AIG on this transaction.
