March 10 Toronto-based insurance group Fairfax
Financial Holdings Ltd said it would increase the cash
component of its offer to buy Allied World Assurance Company
Holdings AG by $18 per share.
The increase in the cash component of the offer would reduce
the stock consideration of the total deal value, Fairfax said.
The company said on Friday it was able to increase the cash
component because of a $500 million investment from Alberta
Investment Management Corp.
When the announcemnent to buy Swiss insurer Allied World was
made in December, Fairfax had said it would pay $54 per share —
$10 in cash and $44 in Fairfax stock — for a total of $4.9
Fairfax on Friday said it would raise the cash consideration
of the offer to $28 per share, including a $5 special dividend.
(Reporting by Vishaka George in Bengaluru)