Onex Completes Convex Acquisition with AIG Investment

Onex has completed its previously announced acquisition of Convex Group Limited, a specialty property and casualty insurance and reinsurance company. Onex acquired Convex in partnership with American International Group for $7 billion.

Onex and AIG own approximately 63% and 35% of Convex, with the remainder held by Convex management. In connection with the acquisition, AIG subscribed for 7.5 million subordinate voting shares of Onex (about 9.9%) and will commit $2 billion to Onex’s private equity and credit strategies over the next three years.

Onex said Convex will become a core platform alongside its Private Equity and Credit businesses, with expectations for recurring net income and free cash flow as Onex transitions to a more capital-lighter model.