American International Group, Inc. (NYSE: AIG) is under a bit of pressure this morning, although the move is on top of something we had warned about in recent days. The United States Treasury Department has announced a plan to sell $6 billion worth of its common shares.
After a 200 million share sale last year, the move will further cut the U.S. government and taxpayer stake in the insurance giant. The difference between this offering and the prior offering is that they are going to execute within a few days and A.I.G. will be buying about half of the amount being sold by the Treasury. A.I.G. also plans to pay down about $8.5 billion in other obligations to the Treasury after recent asset sales.
A.I.G. shares closed at $29.45 on Wednesday and shares are indicated down about 1.9% at $28.90 in pre-market trading on Thursday.
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