Hong Kong-based ship owner and manager Seaspan Corporation has signed definitive agreements with Fairfax Financial Holdings Limited for USD 250 million of investment.
In late December 2017, the company entered into a letter of intent pursuant to which Fairfax Financial Holdings Limited, through certain subsidiaries, will make the investment in exchange for the issuance of 5.5% interest bearing unsecured debentures and Class A Common Share purchase warrants.
The parties informed that the transaction is expected to close before March 1, and Seaspan intends to use the proceeds from the investment to fund future growth initiatives, debt repayment and for general corporate purposes.
“The Fairfax investment is a significant milestone that will better focus our efforts on leveraging our industry leading position to take advantage of accretive growth opportunities going forward,” Bing Chen, Chief Executive Officer of Seaspan, said.
“We welcome the insights that Fairfax will bring to our board, while our extraordinary Seaspan team continues to provide the best solutions to our customers around the world,” Chen added.