British insurer Prudential says it is pulling out of negotiations to take over AIA, the Asian arm of US insurer AIG, after failing in its bid to secure a lower price.
Prudential's bid take over AIG's Asian unit, AIA, is in danger of collapsing after the American insurer rejected a plea by the British company to cut the price tag from $35.5 billion to $30.375.
British insurer Prudential has begun talks to lower its $35.5 billion offer for AIG's Asian life insurance arm amid reports shareholders will not back a deal they consider too costly.
In a deal that will help AIG raise funds to pay back part of its government bailout, US insurance giant MetLife will take over American Life Insurance Company (ALICO), an overseas unit of AIG, in a deal worth 15.5 billion dollars.
US insurance giant AIG has accepted a deal to sell its Asian arm, AIA, to British insurer Prudential for around 35 billion dollars, a source close to the deal said on Sunday.
AIG, who were bailed-out by the US government at the height of the financial crisis, is set to pay out approximately 100 million dollars in bonuses, sparking outrage among US officials.
American International Group, AIG, is set to sell its Taiwan unit, Nan Shan Life, the island's second-largest life insurer, to Hong Kong-based Primus Financial Holdings for 2.15 billion US dollars.
Beleaguered insurance giant AIG, bailed out by the US government last year, still needs to repay nearly 121 billion dollars in taxpayer aid, according to an official report published on Monday by the US Government Accountability Office.
Beleaguered insurance giant AIG, bailed out by the US government last year, has announced a loss of 4.35 billion dollars for the first quarter of 2009. This is, however, its smallest loss in 18 months.
In this edition: Web users react to Barack Obama's handling of the crisis and exec bonuses; bloggers target South Africa after its refusal to grant the Dalai Lama a visa and Playboy creates online access to its archives from 1954 to 2006.
