Hawaiian Electric Industries has sold its control of American Savings Bank in a $400 million deal. The transaction is a direct result of wildfires that will cost the company billions in damages to victims.

Hawaiian Electric Industries Inc. has sold over 90% of its subsidiary American Savings Bank to independent investors in a transaction that will provide HEI with much-needed funds to help pay its share of the $4 billion Maui wildfire lawsuit settlement while also keeping Hawaii’s third-largest bank under local leadership.

Hawaiian Electric has sold most of American Savings Bank to a group of independent investors to help fund lawsuits stemming from the 2023 Maui fires.

The $450 million deal follows the Hawaiian utility company’s agreement last year to put close to $2 billion toward a joint settlement stemming from the 2023 Maui wildfires.

The Honolulu-based utility sold a 90.1% stake in American Savings Bank. The deal valued the lender at $450 million.