schreef:
Several private equity firms are reviewing the books of Transamerica Reinsurance, which its Dutch parent Aegon NV (AEG) has put up for sale.
Blackstone Group LP (BX) is evaluating the business, but the diligence is still at an early stage, and it isn't certain that Blackstone will put in a formal bid, said people familiar with the situation.
Other interested parties include J.C. Flowers & Co. and Stone Point Capital LLC, the people said.
A potential price tag couldn't be determined. One person who has reviewed the books said the business could be sold for less than its book value of 1.6 billion euros ($2.03 billion).
Bank of America Corp. (BAC) is handling a process for the seller.
"At this stage, it's way too early to speculate about how successful it will be," Alex Wynaendts, chief executive of Aegon, said of the process on a conference call this month.
"All I can tell you--and I'm pleased about that--is we have good interest" from strategic and financial buyers, Wynaendts said.
Charlotte, N.C.-based Transamerica Re provides reinsurance and services like risk management and valuation to life insurance companies. It is part of Aegon's Transamerica Life Insurance Co. unit.
The Hague-based Aegon plans to repay the remaining EUR2 billion it has received from the Dutch state by June 2011. Since it received the state funding in December 2008, Aegon has been shoring up its capital position by selling assets and cutting costs. The company said in June that it began exploring strategic options for Transamerica Re.
(Dow Jones LBO Wire covers news about private equity.)
-By Shasha Dai, Dow Jones LBO Wire; 212-416-2037;
shasha.dai@dowjones.com