NEW YORK ( TheStreet) -- American International Group ( AIG) agreed to sell its 97.6% interest in Nan Shan Life Insurance , Taiwan's third-biggest insurer, for $2.16 billion in cash.

The buyer was a consortium led by Ruen Chen Investment, a company 80%-owned by Taiwanese conglomerate Reuntex Group, and Pou Chen, a Taiwanese footwear maker.

"Ruen Chen offers strong operational and funding capabilities and possesses a clear ability to satisfy the strict criteria that governed AIG's bid review process," said Robert Benmosche, AIG president and CEO, in a statement. "Consistent with these criteria, Ruen Chen has demonstrated that it is able and willing to invest in Nan Shan's future, and that it will protect and serve the best interests of Nan Shan's policyholders, employees and agents."

The sale is part of AIG's plan to pay back the U.S. government for its $182 billion bailout.

The sales comes five months after regulators killed AIG's first attempt to sell the business. The sale of Nan Shan still has to be approved by Taiwan's Financial Supervisory Commission, an independent government body that is far from certain to give approval, the Associated Press reports.

-- Written by Joseph Woelfel

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