AIG in talks with Netherland's AerCap on ILFC sale
American International Group (AIG) is reportedly in talks to sell its jet-leasing finance business to Netherland's AerCap Holdings NV. According to Reuters, AerCap may team up with other bidders for International Lease Finance Corp. (ILFC). AerCap is the world's largest independent aircraft lessor.
Reuters, citing an earlier report by Bloomberg, said AIG has not formally terminated its agreement with the Chinese consortium that will supposedly buy a majority of ILFC. In December last year, AIG reached an agreement to sell a stake of up to 90% in ILFC for $4.7 billion.
AerCap was reportedly very close to purchasing the ILFC portfolio. Under the proposed deal, some of ILFC's older aircrafts will be sold to other lessors, Airline Economics Magazine said.
Should the deal goes through, AerCap will become the dominant force in aviation, the report said.
AIG chief executive officer Robert Benmosche said in November that his company hoped to decide on a sale or initial public offering of ILFC in the fourth quarter, Reuters stated.