Deals
AIG Said to Target $4 Billion Valuation in Mortgage Unit's IPO
- United Guaranty said to seek as much as $800 million
- Listing is a reaction to activists' calls for breakup
AIG Said to Target $4B Valuation in Mortgage Unit IPO
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American International Group Inc.’s mortgage insurer, United Guaranty Corp., is seeking to raise about $700 million to $800 million as it sells shares to the public, according to people familiar with the matter.
If successful, the offering would give United Guaranty a market value of about $4 billion, said the people, who asked not to be identified because the plans are private. AIG, which is facing sustained pressure from activists to shrink, said it aims to sell as much as 19.9 percent of its stake in the initial public offering before it eventually fully exits the subsidiary.