- Fairfax Financial Holdings Limited (FFH) sells its pet insurance businesses to JAB Holding Company for $1.4 billion
- JAB agreed to take the Crum & Forster Pet Insurance Group™ and Pethealth Inc.
- Fairfax will make a $200 million investment in JCP V, JAB’s latest consumer fund
- Fairfax will receive $1.15 billion of the sales in cash and $250 million in seller notes
- The transaction is expected to close in the second half of this year
- Fairfax Financial Holdings Limited (FFH) is up 1.57 per cent and is trading at $643/53 per share as of 4:26 p.m. ET
Fairfax Financial Holdings Limited (FFH) has entered a strategic partnership to sell its pet insurance businesses to JAB Holding Company for $1.4 billion.
JAB agreed to take the Crum & Forster Pet Insurance Group™ and Pethealth Inc. entities, and Fairfax will make a $200 million investment in JCP V, JAB’s latest consumer fund. Fairfax will receive $1.15 billion of the sales in cash and $250 million in seller notes.
“[Fairfax] has an incredible multi-decade track record of building great businesses and compounding returns, and we look forward to accelerating the growth of their pet insurance business as part of our focused pure-play pet insurance platform,” Olivier Goudet, Managing Partner and CEO of JAB, said.
According to Fairfax, JAB’s combined global pet insurance platform is estimated to have gross revenues of over $1.2 billion by 2023, insuring more than 2.1 million pets. The transaction is expected to close in the second half of this year.
“We are extremely proud of what we have built and accomplished together in the animal welfare community and the pet insurance ecosystem… JAB will continue to invest and focus on pets and pet parents while growing their global presence and we are excited about the future and our partnership,” Gary McGeddy, President of Crum & Forster, said.
Fairfax Financial Holdings Limited (FFH) is up 1.57 per cent and is trading at $643/53 per share as of 4:26 p.m. ET.
