June 11 (Reuters) – American International Group (AIG.N) and the buyers of its Taiwan Nan Shan insurance unit have modified the terms of the $2.2 billion deal to try and speed up its passage by Taiwan’s regulators, AIG said on Friday.
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AIG said that under the amendment, $325 million of the purchase price will be placed in escrow for four years on completion of the deal, as an additional measure of support for Nan Shan’s capital position.
AIG agreed to sell Nan Shan to conglomerate China Strategic (0235.HK) and Hong Kong-based financial services firm Primus Financial in October.
It has not been able to close the deal on concerns in Taiwan that the buyers were backed by mainland Chinese money and did not have the experience to run Taiwan’s No.3 life insurer by market share with more than 4 million policy holders.
(Reporting by Jonathan Standing; Editing by Erica Billingham)