A $15.5 billion deal has been planned by MetLife Inc. for the acquisition of American International Group Inc.'s second best life-insurance business, as per the announcement that was made on Monday. Following delays due to tax concerns, this deal was finally tailored. AIG is selling this business in order to collect funds as it has to pay back a bailout to U. S. Government.

The deal for American Life Insurance Co. (Alico) will drive Metlife, once a domestic company, to No. 1. This deal will push Metlife into the sophisticated market of insurers round the globe, therefore providing a platform for the company to spread its influence to Asia. The operating income from abroad is being predicted to rise from present figure of 15%, to 40%.

It was confirmed on Monday that $6.8 billion in cash will be paid by Metlife to AIG while for Alico unit; $8.7 billion will go in equity. Alico is functional in more than 50 cities, and deals with accident, life and health insurance along with wealth and retirement management products.

Chief Executive of Metlife Robert Henrikson stated, "With this acquisition, MetLife is delivering on its strategy to accelerate international expansion as a powerful growth engine for the company".