2nd-round bidders offer below $1.5 bln for AIG unit -source

Published: 27 Aug 2009 21:10:23 PST

TAIPEI, Aug 28 - Three consortiums, including Cathay Financial <2882.TW> and Primus Financial, have offered less than $1.5 billion for AIG's <AIG.N> Taiwan Nan Shan unit, a source with direct knowlege of the deal said on Friday.

Chinatrust Financil <2891.TW> has dropped out of the bidding race, said sources.

Private equity firm Bain Capital, which was paring with Chinatrust for the bid, had pulled out, another source said earlier on Friday. Four consortiums had been selected by AIG to take part in the second round of bidding on Friday - the Carlyle Group [CYL.UL] and Fubon Financial <2881.TW>, Bain Capital and Chinatrust Financial, Cathay Financial, and Primus and China Strategic <0235.HK>, sources have said.