US to sell rest of AIG stock, may reap $7.8B

The US Treasury is selling its remaining stake in insurer AIG, bringing an end to government ownership of the company four years after rescuing it from the brink of bankruptcy.


At yesterday’s closing price of $33.26 a share, down 2.3 percent from Friday, the stake would total $7.81 billion. The sale will be led by Bank of America Merrill Lynch, Citigroup, Deutsche Bank, Goldman Sachs and JPMorgan.


In 2008 AIG was rescued minutes before it would have had to file for bankruptcy. The bailout cost $182 billion.

AIG restructured and was able to repay the US plus generate a profit for taxpayers.

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