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American International Group, Inc. Message Board

  • ilirian97 ilirian97 Aug 29, 2009 4:34 AM Flag

    AIG's New CEO Setting up IPO's for Units

    and the best part is that we are headed towards the next leg up in the Bull Rally. Perfect time for IPO's. The IPO's will bring in more money then the entire mkt cap of AIG.

    Recent Article:
    AIG Selects Ex-Chief of MetLife as CEO
    Benmosche Will Infuse the Insurer With IPO's

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    • Let me break this down to something you may understand.

      Say an IPO is an apple.
      Say AIG has 5 apples
      Say the group of 5 apples together is worth 18 million shares at $50 each.

      Now... say AIG takes 3 of those apples and breaks them away that each is now worth 2 million new symbol shares at $30 each.

      You now have 2 apples in your group with 18 million shares at $50 each.

      Your quiz is the following: With the share count staying constant at 18 million shares, will the 2 apple group increase or decrease in share price?

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