Blackstone Enters Deal to Manage AIG Life and Retirement Assets
The private-equity firm will pay $2.2 billion for a 9.9% stake of AIG’s life-insurance and retirement-services unit
July 14, 2021 | Miriam Gottfried and Leslie Scism | The Wall Street Journal
Blackstone Group Inc. struck a sweeping deal with American International Group Inc. to manage a portion of the assets backing AIG’s life-insurance policies and annuities, a big step by the private-equity firm toward becoming a major player in the insurance industry.
Blackstone will enter into a long-term agreement to manage an initial $50 billion in assets, with the amount increasing to nearly $100 billion over the next six years, the companies said Wednesday. The AIG unit has roughly $200 billion in assets.
The private-equity firm would also pay $2.2 billion for a 9.9% stake in AIG’s life-insurance and retirement-services unit, and Blackstone President Jonathan Gray is to join its board.
