AIG Strengthens Market Position with Strategic Investments

AIG's Strategic Investments in Convex and Onex

American International Group Inc. (AIG) has strengthened its market position through strategic investments in Convex Group Limited and Onex Corporation. This initiative aligns with AIG’s long-term investment strategy to enhance its financial performance and market reach. By acquiring significant stakes in these firms, AIG demonstrates a commitment to expanding its influence in key sectors.

AIG's investment of approximately $2.1 billion in a 35% share of Convex, a global specialist in underwriting, allows the insurer to leverage Convex’s diverse portfolio. Additionally, AIG has secured a 9.9% stake in Onex, a global asset manager, for around $642 million. These equity interests reflect AIG's strategy of diversifying its investment portfolio and tapping into new markets.

The role of Onex Corporation as a majority shareholder in Convex, with a 63% stake, is pivotal in driving operational synergies and strategic growth opportunities. AIG's plans to engage in a whole account quota share from January 1, 2026, with further participations in subsequent years, are expected to bolster earnings and enhance return on equity, underscored by Peter Zaffino, AIG's Chairman and CEO.

AIG's Financial and Market Strategy

Morgan Stanley & Co. LLC served as the financial advisor for these transactions, with legal counsel provided by Wachtell, Lipton, Rosen & Katz and Debevoise & Plimpton LLP. AIG continues to deliver innovative insurance solutions in over 200 countries, with a focus on regulatory compliance requirements and diverse coverage offerings adapted to market demands.

For professionals seeking insights into industry developments and strategic market maneuvers, additional resources and updates are available at ProgramBusiness.com, a valuable platform for expertise in risk management and insurance industry updates.