Arch Capital Group $3.4 billion acquisition of AIG mortgage-guaranty unit

Overview:

• Bermuda-based insurance company Arch Capital Group has acquired AIG's mortgage-guaranty unit in a $3.4 billion deal.
• The sale is part of AIG's strategy to avoid designation as a systematically important financial institution and the stringent regulations that are attached.
• Prior to the acquisition, AIG had announced plans to spin off the unit this past January.
• Cahill Gordon & Reindel (John Schuster, Helene Banks) and Clyde & Co (Vikram Sidhu, Joyce Chan) advised Arch.
• Sullivan & Cromwell (Robert DeLaMater, Jared Fishman, John Estes, Michael Wiseman, C Andrew Gerlach) advised AIG.

Kurt Stumpo - Journalist - North America and the Caribbean