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AIG unit Corebridge targets up to $15.5 billion valuation in U.S. IPO

Published 09/06/2022, 04:44 PM
Updated 09/06/2022, 06:01 PM
© Reuters. The AIG logo is seen at its building in New York's financial district March 19, 2015.   REUTERS/Brendan McDermid
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(Reuters) -American International Group Inc said on Tuesday it was seeking a valuation of up to $15.5 billion in the IPO of its unit Corebridge Financial Inc, at a time when investor interest in new listings has waned due to stock market volatility.

AIG (NYSE:AIG) is offering 80 million shares of common stock of Corebridge priced between $21 and $24 per share, aiming to raise up to $1.92 billion, based on the top end of the proposed range of the listing.

The move sets the stage for what is expected to be one of the marquee listings this year.

However, IPOs in the United States are on track for their worst year in over two decades, according to Dealogic which tracks listing data going back to 1995.

Volatile market conditions driven by geopolitical turmoil and fears of a looming recession have forced investors to slam the brakes on stock market listings this year.

Last week, yogurt maker Chobani became the first high-profile casualty of the current slowdown in listings as it filed to withdraw its U.S. IPO plans.

AIG first announced the decision to separate its life insurance and retirement businesses from its property and casualty operations in 2020, years after activist investors targeted the company for a break-up.

The insurer filed for the offering in March and blamed market conditions for the delay in completion, initially expected by the end of June.

© Reuters. The AIG logo is seen at its building in New York's financial district March 19, 2015.   REUTERS/Brendan McDermid

AIG said it expects Corebridge to trade on the New York Stock Exchange under the ticker symbol "CRBG.

J.P. Morgan, Citigroup (NYSE:C), Morgan Stanley (NYSE:MS), Goldman Sachs (NYSE:GS), Bank of America (NYSE:BAC), Piper Sandler, Wells Fargo (NYSE:WFC) and Deutsche Bank (ETR:DBKGn) Securities are among the underwriters of the offering.

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