Fairfax Financial submits proposal to take Farmers Edge private

Fairfax currently owns around 61.4 percent of Farmers Edge’s common shares.

  • The purchase price is C$0.25 per share
  • Farmers Edge has not taken any decision related to any potential transaction and no timetable has been set for completion
  • The company’s board has formed a special committee of independent directors to evaluate the proposal from Fairfax and to explore potential alternatives

Farmers Edge, a Winnipeg-based agriculture technology company, has received a non-binding proposal from its majority investor, Fairfax Financial Holdings, by which Fairfax would acquire all of the common shares of the company it does not already own. The purchase price is C$0.25 per share.

Fairfax’s proposal is subject to, among other things, negotiation and finalization of definitive documentation in respect of such proposal, according to a statement by Farmers Edge.

Farmers Edge has not taken any decision related to any potential transaction and no timetable has been set for completion. The company’s board has formed a special committee of independent directors to evaluate the proposal from Fairfax and to explore potential alternatives, including maintaining the status quo, and to make recommendations in that regard.

Fairfax currently owns around 61.4 percent of Farmers Edge’s common shares.

Farmers Edge completed its initial public offering on the Toronto Stock Exchange in 2021, raising C$125 million in proceeds.

Based in Toronto, Fairfax Financial Holdings is an investment and property and casualty insurance and reinsurance firm.