FRFHF - Fairfax reports pricing of senior notes offering
2024-06-19 07:28:35 ET
- Fairfax Financial ( TSX: FFH:CA ) Tuesday after market said that it has priced a private offering of $600M of senior notes due 2055 at an issue price of 99.585% and a private offering of an additional $150M of its 6.000% senior notes due December 7, 2033 at an issue price of 102.697%, plus accrued interest.
- The New Notes will be unsecured obligations of Fairfax and will pay a fixed rate of interest of 6.100% per annum, Fairfax Financial ( FFH:CA ) noted.
- The Additional 2033 Notes will have the same terms as the Original 2033 Notes, except for the issue date, offering price and the first interest payment date, and will form part of the same series as the Original 2033 Notes.
- Fairfax intends to use the net proceeds of this offering to redeem all the outstanding $500M aggregate principal amount of Allied World Assurance Company Holdings' outstanding 4.35% Senior Notes due 2025 and use any remainder for general corporate purposes.
- Fairfax also intends to enter into a registration rights agreement in connection with the offering of the Notes.
- The offering is expected to close on or about June 24, 2024.
- Source: Press Release