NEW YORK--(BUSINESS WIRE)--Jun. 3, 2015--
American International Group, Inc. (NYSE:AIG) announced today that it
has priced the sale of a total of 86,883,274 ordinary shares of AerCap
Holdings N.V. (NYSE: AER) by means of an underwritten public offering of
71,184,686 ordinary shares and a private sale of 15,698,588 ordinary
shares to AerCap. Closing of these transactions is scheduled for June 9,
2015 and is subject to customary closing conditions.
AIG will receive cash proceeds of approximately $3.7 billion, reflecting
proceeds of approximately $3.4 billion from the underwritten offering
and cash proceeds of $250 million from the private sale of shares to
AerCap. In connection with the closing of the private sale of shares to
AerCap, AIG will also receive $500 million of 6.50% fixed-to-floating
rate junior subordinated notes issued by AerCap Global Aviation Trust
and guaranteed by AerCap Holdings N.V. and certain of its subsidiaries.
These notes mature in 2045 and are callable beginning in 2025.
In connection with the underwritten public offering, AIG has granted the
underwriters a 30-day option to purchase an additional 10,677,702
ordinary shares of AerCap from AIG. Should the underwriters exercise
their option in full, AIG would receive additional proceeds of
approximately $0.5 billion and would no longer own any AerCap ordinary
shares. Under the terms of the underwriting agreement in connection with
the underwritten public offering, AIG is restricted from selling any of
its remaining ordinary shares of AerCap for 90 days, subject to certain
“AIG has built a long track record of successfully and responsibly
monetizing our non-core assets,” said Peter D. Hancock, President and
Chief Executive Officer, AIG. “We will continue to optimize the value we
deliver to our shareholders by both de-risking our non-core investments
and enhancing AIG’s financial flexibility, as we did in deconsolidating
more than $24 billion of debt in connection with the sale of
International Lease Finance Corporation. In addition, we are pleased
that, since the time of announcement of the sale of ILFC to AerCap, the
value of the transaction has increased by more than $2.2 billion.”
AerCap has filed a registration statement (including a prospectus) on
Form F-3 with the SEC for the underwritten offering to which this
communication relates. The registration statement was declared effective
on March 31, 2015. Investors should read the accompanying prospectus
dated March 31, 2015, the preliminary prospectus supplement dated June
1, 2015 and other documents AerCap has filed with the SEC for more
complete information about AerCap and this offering. These documents may
be obtained for free by visiting EDGAR on the SEC's website at www.sec.gov.
Alternatively, copies of the prospectus supplement and accompanying base
prospectus relating to the offering, when available, may be obtained
from: Citigroup, c/o Broadridge Financial Solutions, 1155 Long Island
Avenue, Edgewood, NY 11717, via telephone: 800-831-9146; and Goldman
Sachs & Co., Attention: Prospectus Department, 200 West Street, New
York, New York 10282, via telephone: 1-866-471-2526 or via email: firstname.lastname@example.org.
Certain statements in this press release, including the closing of the
transactions described herein, constitute forward-looking statements.
These statements are not historical facts but instead represent only
AIG’s belief regarding future events, many of which, by their nature,
are inherently uncertain and outside AIG’s control. It is possible that
actual results will differ, possibly materially, from the anticipated
results indicated in these statements. Factors that could cause actual
results to differ, possibly materially, from those in the
forward-looking statements are discussed throughout AIG’s periodic
filings with the SEC pursuant to the Securities Exchange Act of 1934.
American International Group, Inc. (AIG) is a leading global insurance
organization serving customers in more than 100 countries and
jurisdictions. AIG companies serve commercial, institutional, and
individual customers through one of the most extensive worldwide
property-casualty networks of any insurer. In addition, AIG companies
are leading providers of life insurance and retirement services in the
United States. AIG common stock is listed on the New York Stock Exchange
and the Tokyo Stock Exchange.
Additional information about AIG can be found at www.aig.com
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AIG is the marketing name for the worldwide property-casualty, life and
retirement, and general insurance operations of American International
Group, Inc. For additional information, please visit our website at www.aig.com.
All products and services are written or provided by subsidiaries or
affiliates of American International Group, Inc. Products or services
may not be available in all countries, and coverage is subject to actual
policy language. Non-insurance products and services may be provided by
independent third parties. Certain property-casualty coverages may be
provided by a surplus lines insurer. Surplus lines insurers do not
generally participate in state guaranty funds, and insureds are
therefore not protected by such funds.
View source version on businesswire.com: http://www.businesswire.com/news/home/20150603006693/en/
Source: American International Group, Inc.
Jennifer Hendricks Sullivan, 212-770-3141