AIG Financial Products has completed the sale of its commodity index business to the equities business of UBS Investment Bank, including AIG’s rights to the DJ-AIG Commodity Index.
AIG Financial Products has completed the sale of its commodity index business to the equities business of UBS Investment Bank, including AIG’s rights to the DJ-AIG Commodity Index.
The purchase price for the transaction is USD15m, payable upon closing, plus additional payments of up to USD135m over the following 18 months based on future earnings of the purchased business.
Approximately 13 AIG-FP employees involved with the commodity index business are joining UBS Investment Bank in connection with the sale.
‘With this sale, AIG has realised value from the sale of a profitable business unit of AIGFP in connection with the ongoing unwind of AIG-FP’s businesses and portfolios,’ says Gerry Pasciucco, AIG-FP chief operating officer.
AIG-FP began the process of unwinding its businesses and portfolios late last year.
