Carlyle And T&D To Buy Majority Stake In Fortitude Re From AIG For $1.8 Bln

(RTTNews) - The Carlyle Group (CG) and T&D Holdings agreed to acquire a 76.6 percent ownership interest in Fortitude Group Holdings, whose group companies operate as Fortitude Re, from American International Group Inc. (AIG) for about $1.8 billion.

After closing, ownership interests in Fortitude Re will include Carlyle and its fund investors at 71.5 percent, T&D at 25 percent and AIG at 3.5 percent.

AIG will receive a $500 million non-pro-rata distribution, which if not paid by the later of May 13, 2020 or transaction close will result in an additional payment from the new Carlyle-managed fund and T&D based on their Fortitude Re ownership interest.

The transaction is expected to close in mid-2020.