Greenberg's CV Starr may try to take over AIG

[NoGOPZone]

Source: Reuters via Yahoo! News

A company led by Hank Greenberg, a former chief executive of American International Group (AIG.N), may try to take over the insurer in a proxy fight or tender offer, according to a regulatory filing.

Greenberg's company, C.V. Starr, said in a filing on Tuesday that it continues to work with its adviser, investment bank Perella Weinberg Partners, on strategic options, including buying assets from AIG, taking it private, or trying to buy it in a proxy fight.

In order to take such steps, Greenberg would have to receive approval from the New York Department of Insurance, given strict laws governing those who hold more than 10 percent of an insurer's stock.



Read more: http://news.yahoo.com/s/nm/20080916/bs_nm/aig_greenberg_dc_1

[lapfog_1]

1. I doubt that any form of LBO will happen

nobody will write the paper on an LBO, not with the shape the assets are in.

As for buying some assets, it's possible, but if the scavengers cherry pick AIG, there will only be those worthless assets left... and that will still imply a huge write-off, one that will likely require another government intervention. And all that results is that assholes like this Greenberg make millions or billions because they got to buy the good stuff at fire sale prices. We taxpayers are left holding the bag.

[nolabels]

2. In short, it's worth more bankrupt

The greedy fools will all probably wait till that happens, no doubt :shrug: