11:10 AM EDT, 05/16/2024 (MT Newswires) -- (Updates with the latest stock price movement in the headline and last paragraph.)

American International Group ( AIG ) said Thursday that it has agreed to sell a 20% stake, or 120 million shares, of Corebridge Financial ( CRBG ) to Nippon Life Insurance for $31.47 per share, for a total of $3.80 billion.

AIG said it expects to complete the sale by Q1 next year and that it has agreed to keep a 9.9% stake in Corebridge for two years following closing.

Corebridge shares were up more than 12% in recent trading, while AIG rose 0.7%.

Price: 79.45, Change: +0.54, Percent Change: +0.69