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FM Global looking at Hartford Steam Boiler

Posted On: Dec. 3, 2008 12:00 AM CST

JOHNSTON, R.I.—Factory Mutual Insurance Co., which does business as FM Global, may consider acquiring American International Group Inc.'s Hartford Steam Boiler Inspection & Insurance Co. unit.

"We're in a completely exploratory stage and just trying to gather facts at this point," said a spokesman for Johnston, R.I.-based FM Global.

"We've had some indirect contact" with AIG about a potential deal for Hartford Steam Boiler, FM Global Chief Financial Officer Jeffrey Burchill said in an interview with Bloomberg News. "We would take a look based on price and market share."

Hartford, Conn.-based HSB has been on the market for several weeks, as AIG has started selling off assets to repay a government loan. AIG has already hired Keefe, Bruyette & Woods to sell HSB (BI, Oct. 20).