AIG Unit Draws Interest: Report

AIG's asset management business is drawing the eye of several bidders, The Wall Street Journal reported Tuesday.
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Several bidders are eyeing

American International Group's

(AIG) - Get Report

asset management business,

The Wall Street Journal

reported Tuesday.

The AIG business, which according to the report has about $100 billion under management, has drawn attention from private equity firms

Ashmore Investment Management

,

Hellman & Friedman

,

Rhone Group

and

TA Associates

. Mutual fund managers

Franklin Templeton Investments

and

Southgate Alternative Investments

are also taking a look, according to the report.

AIG is scrambling to pay back some $170 billion in government money, and the buyers, aware of this, are making lowball bids of $400 million to $800 million, well below the $1 billion to $2 billion these assets would ordinarily be worth, according to the newspaper.

AIG shares were losing 2.7% to $1.07 in recent premarket trading.