Shearman And Sterling

News June 18, 2022

Fairfax Financial agrees to sell its Pet Insurance Business to JAB Holding

Shearman and Sterling represented Fairfax Financial Holdings Limited (Fairfax) in connection with the sale of its Crum & Forster Pet Insurance Group (C&F Pet) and Pethealth to JAB Holding Company for $1.4 billion in the form of $1.15 billion in cash and $250 million in seller notes. As part of the transaction, Fairfax will also make a $200 million investment in JCP V, JAB’s latest consumer fund.

As a result of the transaction, JAB’s combined global pet insurance and ecosystem platform will be estimated to have gross written premiums and pet health services revenues of well over $1.2 billion by 2023, insuring more than 2.1 million pets.

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

JAB invests in consumer-focused industries with attractive long-term dynamics, including strong growth prospects, attractive margin and cash flow characteristics, and proven resiliency.

The Shearman & Sterling team below included associates Janice Perri (NY-Compensation, Governance & ERISA), Naveed Hada (NY-Mergers & Acquisitions) and Austin Grossfeld (NY-Intellectual Property Transactions).

The Team