UBS Investment Bank's equities business has completed the acquisition of the commodity index business of AIG Financial Products Corp, including AIG's rights to the Dow Jones-AIG Commodity Index.

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 (DJ-AIGCI). Dow Jones-AIG Commodity Indexes have been renamed Dow Jones-UBS Commodity Indexes. The transaction closed on May 6, 2009.

The purchase price for the transaction is $15m, payable upon closing, and additional payments of up to $135m over the following 18 months based upon future earnings of the purchased business.

Jason Barron, global head of equity derivatives at UBS, said: "This acquisition allows us to expand our leading equities business in commodities indexes by adding a highly regarded platform, which has considerable market traction, expertise, and critical mass. The DJ-AIGCI is one of the most utilised indexes and is a strategic fit with our existing commodity index, the UBS Bloomberg Constant Maturity Commodity Index. We are pleased to add a valuable product offering to our core capabilities. Our clients now have a wide variety of choices in accessing commodity indexes."

Approximately 13 employees will move to UBS to service existing client relationships, advise on the index's structured product capabilities, and offer trading advice.