NEW YORK — American International Group said this morning it will sell a second overseas life and health insurance unit for $15.5 billion to MetLife in an ongoing bid to repay billions in government aid.

It was the second major deal AIG completed this month to raise cash. On March 1, AIG agreed to sell Asia-based life insurer, AIA Group, to Britain's Prudential PLC for $35.5 billion.

MetLife will get a much larger presence in Japan as well as high-growth markets in Europe, the Middle East and Latin America. Alico operates in more than 50 countries.

In the deal announced today, MetLife will pay $6.8 billion in cash for Alico. The rest will be paid in stock and equity units.

The cash portion will be used immediately to pay down an investment in AIG by the Federal Reserve Bank of New York. The equity portion of the deal will be sold over time to help further repay that debt.