Shares of Zurich Financial Group recovered Friday after losing nearly 5 percent in morning trading following the company’s announcement it will buy 21st Century Insurance.

The shares closed up 0.15 percent at $173.73.

The share price fell by as much as 4.6 percent to $165.45 after the last nights’s announcement that the Swiss-based insurer would buy the unit for $1.9 billion from New York-based AIG, which is selling off operations to help repay $182.5 billion in U.S. government support.

The transaction is the largest divestiture by AIG since it began receiving funds from United States government in September.