The equities business of UBS Investment Bank says it has entered into a binding agreement to acquire the commodity index business of AIG Financial Products Corp.

This commodity index business is comprised of a product platform of commodity index swaps and funded notes based on the benchmark Dow Jones-AIG Commodity Index.

The transaction is valued up to $150 million, according to UBS Investment Bank, part of UBS AG, Zurich. Of that, $15 million would be payable upon closing, and additional payments of up to $135 million would be made over the following 18 months, based upon future earnings of the purchased business, according to UBS. It expects the transaction to close by May.

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