Everest to Sell Mexico Insurance Operations to Fairfax Represents Another Strategic Step in Company’s Ongoing Business Transformation Everest to Sell Mexico Insurance Operations to Fairfax reflects insurer’s focus on core operations strengthening Everest to Sell Mexico Insurance Operations to Fairfax also fits with the company’s long-term strategy of focusing on high-growth insurance and reinsurance markets.
Everest Group, Ltd., a leading global specialty insurance and reinsurance company, announced today that it has entered into a definitive agreement to sell Compañía de Seguros Generales Everest México S.A. de C.V. (“Everest Mexico”) to Fairfax Financial Holdings Limited.
The transaction is another milestone in the strategic transformation of Everest. At the same time, the company is further optimizing its business, focusing its resources on its core Reinsurance and Global Wholesale and Specialty operations. Everest expects to enhance its competitive position in key international markets as a consequence.
“This agreement reflects the disciplined execution of our strategic priorities and continues the transformation of Everest into a more focused, higher-performing organization,” said Jim Williamson, President and Chief Executive Officer of Everest. “By sharpening our investment in our core Reinsurance and Global Wholesale and Specialty franchises, we are positioning the Company to capitalize on the most attractive opportunities across our portfolio. At the same time, we are pleased to have found a strong long-term owner in Fairfax for our Mexico business. I want to thank our colleagues in Mexico for their dedication and contributions to Everest, and I am confident they will continue to thrive as part of Fairfax.”
Strategic Portfolio Realignment Continues
This proposed transaction follows prior announcements by Everest about the divestiture of its insurance operations in Colombia and Canada. Therefore, the company is proceeding with its planned exit from its remaining commercial retail insurance businesses. It enables Everest to channel capital to business segments with greater long-term growth potential.
The transaction is expected to close in 2027. The closing is subject to customary regulatory approvals and other customary closing conditions. Everest brought in seasoned advisors to help with the transaction. Guy Carpenter Capital & Advisory, a division of MMC Securities LLC, is the Company’s financial advisor. Debevoise & Plimpton LLP serves as Everest’s legal counsel in connection with the transaction process.
The deal also gives Fairfax a chance to grow its insurance footprint in the Mexican market. The acquisition is also in line with Fairfax’s long-term strategy of investing in quality insurance businesses in global markets.
With this latest divestiture, Everest continues to execute on its transformation strategy through disciplined portfolio management. Thus, the firm continues to focus on improving operational performance and driving incremental value in its global specialty insurance and reinsurance businesses.
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News Source: Businesswire.com
