American International Group Inc. said on Friday in an announcement that the company is planning to sell the remaining stake in reinsurance company Transatlantic Holdings, Incorporation.

Transatlantic Holdings is owned by American Home Assurance Company, a subsidiary of AIG. American International Group Inc. has 9.19 million, or around 13.8%, shares in Transatlantic Holdings. AIG said it will sell its remaining stake in Transatlantic Holdings Inc. in a public offering. The public offering is expected to begin by March 9 this year. This is the second time in last 10 months that AIG is selling its stake in Transatlantic.

AIG was bailed out by the U. S. Government after the insurer was badly hit by the economic slowdown in 2008. AIG received a government bailout valued at $182.3 billion. Now the company is trying to repay the bailout amount by selling its assets.

Earlier, the company had sold its Asian life insurance unit American International Assurance Co. Ltd. to U. K based insurance and financial services provider Prudential Plc for around $47 billion. And now the company expects to raise about $494 million based on Transatlantic's closing price yesterday of $53.76 on the New York Stock Exchange. Also in June 2009, AIG raised $1.1 billion by selling 30 million shares of Transatlantic.