Kazakh insurer bids for local AIG unit

ALMATY, Sept 29 (Reuters) - Kazakhstan's No.1 insurer Eurasia said on Monday it had made a formal offer to buy the local subsidiary of AIG (AIG.N), the insurer bailed out by the U.S. Federal Reserve earlier this month.

AIG, once the world's most valuable insurer, needs to raise cash quickly to repay the $85 billion loan that allowed it to avoid bankruptcy after it took massive losses on mortgage derivatives.

"An offer has been sent to (AIG's) London office on Sept. 24," Eurasia, which is owned by the three key shareholders of mining giant ENRC (ENRC.L), said in a statement.

The Kazakh company did not say how much it was ready to pay for AIG Kazakhstan, a relatively small player on the local market, but said it could consider further bids for AIG assets.

"Depending on the way the negotiations develop, Eurasia may consider buying AIG assets in other regions of Asia and Eastern Europe," it said. (Writing by Olzhas Auyezov; Editing by Quentin Bryar)