February 5, 2018 by Jillian Morgan
Fairfax Financial has agreed to acquire certain assets and assume certain liabilities of Carillion Canada.
Under the transaction, Fairfax will acquire the services business carried on by Carillion Canada and over 4,500 Carillion employees will move to Fairfax.
Services include: facilities management of airports, commercial and retail properties, defence facilities, select healthcare facilities and on behalf of oil, gas and mining clients, including under the Outland brand.
“We are excited to have the services business of Carillion Canada join the Fairfax group,” said Prem Watsa, chairman and CEO of Fairfax. “The services business of Carillion Canada has an excellent long-term track record and we look forward to working with this team in growing their business over the long-term.”
The acquisition will need to be approved by the Ontario Superior Court of Justice in Carillion Canada’s proceedings under the Companies’ Creditors Arrangement Act. It is expected to close in the first quarter of 2018.
“This transaction will provide certainty and stability for the clients we work for and the customers we serve, and a strong platform for the continued growth of the business,” said Simon Buttery, president and CEO of Carillion Canada.
Fairfax also announced its intention to appoint David Johnston, former Governor General of Canada, and Stephen Wallace, former secretary to the Governor General of Canada, to the board of directors of the acquired Canadian companies once the transaction has closed.
SOURCE: FAIRFAX FINANCIAL HOLDINGS