rer American International Group (AIG) is selling part of its stake in Hong Kong-based AIA Group to raise about $6bn (£3.8bn) to help the firm pay off the US government.
AIG is looking to place some 1.7 billion AIA shares in a range of HK$27.15-27.50 per share - a discount of up to 7 per cent to Friday's AIA closing price.
The shares will go to institutional investors and AIG expects to use the proceeds to reduce the balance due to the U.S. Treasury Department.
The U.S. Treasury owns 77 per cent of AIG following a massive $182bn bailout in the wake of the 2008 global financial crisis. AIG holds around a third of AIA which, at Friday's close, was worth $14.9bn.
As of end-December, AIG owed the Treasury $8.4bn to redeem interests in the AIA SPV.