AEGON Places 350 Million Shares for Sale at €10

September 18, 2002

The Netherlands insurer and financial services company AEGON N.V. and its largest shareholder Vereniging AEGON (the “Association”) announced the placement of 350 million existing AEGON common shares at an offering price of €10.00 per bearer share and $ 9.71 per New York share, slightly below recent market levels.

The Association is selling 350 million shares, representing 24.4% of AEGON’s outstanding common shares. The announcement stated that “Of the 350 million common shares being sold by the Association, 143.6 million common shares are being sold directly by the Association in an offering outside the United States in reliance on Regulation S of the United States Securities Act. The balance of 206.4 million common shares are being purchased by AEGON from the Association in connection with the placement in the market by AEGON in a global offering, including an SEC-registered public offering in the United States.”

The company is in the process of rebuilding its battered capitalization following the downturn in global equity values. (See IJ Website Sept. 11, 16 & 17) It stated that “After the transaction, payment of related expenses, receipt of the interim dividend in 2002 on AEGON common shares and using other available funds, the Association will reduce its bank debt by EUR 1.8 billion to EUR 1.7 billion. The Association will invest EUR 2.064 billion in an increase in the paid-in capital on 440 million existing AEGON preferred shares held by the Association. The proceeds of the increase in the paid-in capital will be used by AEGON to retire senior debt.”

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