Fairfax completes C$735 million bought deal financing
On March 2, 2016, Fairfax Financial Holdings Limited completed its previously announced public offering of 1,000,000 subordinate voting shares of Fairfax at a price of C$735.00 per share, for gross proceeds of C$735 million. The shares were sold through a syndicate of underwriters led by BMO Capital Markets, CIBC Capital Markets and RBC Capital Markets that also included Scotia Capital Inc., Cormark Securities Inc., TD Securities Inc., Desjardins Securities Inc., Canaccord Genuity Corp. and GMP Securities L.P.
Fairfax intends to use the net proceeds to fund the previously announced acquisitions of shares of Eurolife ERB Insurance Group Holdings S.A. and ICICI Lombard General Insurance Company Limited. If the Eurolife or ICICI Lombard acquisitions are not successfully completed or there is a remaining balance of the net proceeds, Fairfax intends to use that balance to augment its cash position, to pursue other potential acquisition opportunities, to increase short-term investments and marketable securities held at the holding company level, to refinance or retire outstanding debt and other corporate obligations of Fairfax and its subsidiaries from time to time and/or for general corporate purposes.
Fairfax is a holding company which, through its subsidiaries, is engaged in property and casualty insurance and reinsurance and investment management.
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