Fairfax Completes US$600 Million Senior Notes Offering

TORONTO, March 03, 2021 (GLOBE NEWSWIRE) -- Fairfax Financial Holdings Limited (“Fairfax”) (TSX: FFH and FFH.U) has completed its previously announced offering of US$600 million in aggregate principal amount of 3.375% Senior Notes due 2031 (the “Notes”). In connection with the closing of the offering, Fairfax entered into a customary registration rights agreement.

Fairfax intends to use the net proceeds from the offering to repay outstanding debt of Fairfax and its subsidiaries, which may include a portion of the indebtedness under its unsecured revolving credit facility. This may include the redemption or repurchase of certain previously issued senior unsecured notes and/or other debt securities of Fairfax and its subsidiaries. Except as set forth above, as of the date hereof, Fairfax has not made any determination as to the specific debt or other obligations to be repaid, nor the amount, timing or method of repayment. Any repurchase of senior unsecured notes and/or other debt securities of Fairfax and its subsidiaries will be subject to market conditions, and there can be no assurance that such notes or securities will be available for repurchase on terms acceptable to Fairfax.

The offering was made solely by means of a private placement either to qualified institutional buyers pursuant to Rule 144A under the U.S. Securities Act of 1933, as amended (the “Securities Act”), or to certain non-U.S. persons in offshore transactions pursuant to Regulation S under the Securities Act. The Notes have not been registered under the Securities Act and the Notes may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act. The Notes have not been and will not be qualified for sale under the securities laws of any province or territory of Canada and may not be offered or sold directly or indirectly in Canada or to or for the benefit of any resident of Canada, except pursuant to applicable prospectus exemptions.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities in any jurisdiction in which such offer or solicitation would be unlawful. Any offers of the Notes have been made only by means of a private offering memorandum.

Fairfax is a holding company which, through its subsidiaries, is engaged in property and casualty insurance and reinsurance and the associated investment management.

For further information contact:

John Varnell, Vice President, Corporate Development at [phone]