AIG in secondary deal with Dresdner

The insurance giant’s Global Investment Group has agreed to buy the private equity assets of Dresdner Bank’s Institutional Restructuring Unit, which has approximately €1.1bn worth of interests in about 150 funds.

New York-based AIG Global Investment Group has agreed to acquire the private equity assets of Dresdner Bank’s Institutional Restructuring Unit.

The portfolio’s purchase price was not disclosed.

According to a statement, Dresdner’s limited partnership interests represent approximately €1.1 billion ($1.42 billion) spread throughout about 150 funds. Of these assets, approximately two-thirds of the funds are based in the US and the rest in Europe and Asia.

The secondary deal is aimed to expand AIG’s global private equity business, valued at more than $15 billion, and to provide the Global Investment Group “with an expanded window on both new fund and continuing co-investment opportunities,” said David Pinkerton, the group’s head of developed markets alternative investments, in a statement.

AIG was represented in the transaction by an international team of advisors, including Winchester Capital, and the law firms of Sidley Austin Brown & Wood LLP and CMS Hache Siegel.
In December, AIG Global Investment Group closed its Private Equity Portfolio III on $239 million (€180 million). The fund of funds, launched in February 2003, fell just short of its original goal of $250 million, stated in documents filed with the Securities and Exchange Commission.

PEP III is composed of a broad range of investment funds: three separate funds of funds for US buyouts, non-US buyouts and venture capital, respectively, as well as a direct investment fund and a secondary fund of funds.

AIG Global Investment Group, an affiliate of the American Insurance Group, formed its private equity group in 1990.

Dresdner Bank is a wholly owned subsidiary of Allianz AG.