CNBC- Cunningham Lindsey Group Inc., a Canadian insurance claims servicer, on Tuesday announced a proposal to sell itself for roughly $164 million to a group of investors including its ownexecutives, Fairfax Financial Holdings Ltd. and a team of private equity investors.<\/p>\n
Under the proposal, Cunningham Lindsey will form a parent company that controls its various businesses. A private equity manager called Stone Point Capital LLC will invest 80 million Canadian dollars ($83.5 million) for a 51 percent stake in the holding company.<\/p>\n
Fairfax will invest 30 million Canadian dollars ($31.3 million), and senior management of Cunningham Lindsey and some of the company’s subsidiaries will also buy a stake.<\/p>\n
The company will use the proceeds from this sale to pay off 72.8 million Canadian dollars ($76 million) in debt, and for other uses.<\/p>\n
Shares of Fairfax Financial Holdings lost $1.37 to $273.95 in afternoon trading.<\/p>\n