Union Assurance offloads 22% stake in Fairfirst Insurance to Fairfax Asia

Union Assurance PLC (UAL), a subsidiary of John Keells Holdings PLC, has divested its 22 percent equity stake in non-life insurer Fairfirst Insurance Limited, the Colombo Stock Exchange disclosed this week. 

The stake, comprising 30.8 million ordinary shares, was sold to Fairfax Asia Limited, a unit of Canada’s Fairfax Financial Holdings, for a total consideration of Rs.2.64 billion.

Fairfirst Insurance, previously treated as an associate of the John Keells group, operates in Sri Lanka’s non-life insurance sector, providing coverage across general insurance lines. 

The transaction marks a strategic exit by UAL from its investment in the company, aligning with the group’s broader portfolio management objectives.

John Keells Holdings confirmed the divestment in a formal disclosure to the shareholders, noting the completion of the share sale to Fairfax Asia Limited.