Fairfax Launches C$700 Million Senior Notes Offering
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The base shelf prospectus is accessible, and the shelf prospectus supplement for this offering will be accessible within two business days, through SEDAR+
TORONTO, Aug. 11, 2025 (GLOBE NEWSWIRE) -- Fairfax Financial Holdings Limited ("Fairfax") (TSX:FFH) announces that it intends to offer (i) C$400 million in aggregate principal amount of Senior Notes due 2035 (the "2035 Notes") to be priced at C$99.824 per C$100 principal amount, and (ii) C$300 million in aggregate principal amount of Senior Notes due 2055 (the "2055 Notes" and, together with the 2035 Notes, the "Senior Notes") to be priced at C$99.619 per C$100 principal amount (the "Offering"). The Senior Notes will be offered through a syndicate of dealers to be led by National Bank Financial Inc., RBC Dominion Securities Inc., Scotia Capital Inc., and TD Securities Inc., as joint bookrunners, and including BMO Nesbitt Burns Inc., CIBC World Markets Inc., Merrill Lynch Canada Inc., Citigroup Global Markets Canada Inc., Desjardins Securities Inc., J.P. Morgan Securities Canada Inc., Mizuho Securities Canada Inc. and Morgan Stanley Canada Limited, as agents. The 2035 Notes will pay a fixed rate of interest of 4.45% per annum and the 2055 Notes will pay a fixed rate of interest of 5.10% per annum. The Senior Notes will be unsecured obligations of Fairfax.
Fairfax intends to use the net proceeds of the Offering to refinance, repay or redeem outstanding debt, equity or other corporate obligations of Fairfax and its subsidiaries, to pursue potential acquisition or investment opportunities (which may include acquisitions of minority interests in its subsidiaries), and for general corporate purposes. This may include the redemption or repurchase of certain of Fairfax's previously issued debt or equity securities. As of the date of this press release, Fairfax has not made any determination as to the specific debt, equity or other corporate obligations to be repaid or redeemed, nor the amount, timing or method of such repurchase or redemption. Similarly, as of the date of this press release, Fairfax has not made any determination as to the specific acquisitions or investment opportunities to be pursued, nor the cost, timing or method of such acquisitions or investments. Any such repurchase, redemption, acquisition or investment will be subject to market conditions. Any proceeds not used to refinance, repay or redeem outstanding debt, equity or other corporate obligations or to pursue potential acquisition or investment opportunities will be used for general corporate purposes, which may include to augment Fairfax's cash position or to increase short-term investments and marketable securities held at the holding company level. The Offering is expected to close on or about August 14, 2025, subject to the satisfaction of customary conditions.
The Senior Notes will be offered in all provinces and territories of Canada pursuant to Fairfax's base shelf prospectus dated October 11, 2023 (the "base shelf prospectus"), as supplemented by a prospectus supplement (the "shelf prospectus supplement") to be filed with the Canadian securities regulators in all of the provinces and territories ...
