TORONTO and SOUTHFIELD, Mich., Jan.
14, 2011 /PRNewswire/ -- Fairfax Financial Holdings Limited
("Fairfax") (TSX: FFH and FFH.U)
and First Mercury Financial Corporation ("First Mercury") (NYSE:
FMR) announced that First Mercury's stockholders today voted in
favor of Fairfax's acquisition of
First Mercury for $16.50 per share in
cash. Over 99% of the votes cast, representing approximately 85% of
the shares of First Mercury common stock issued and outstanding,
were in favor of adoption of the merger agreement.
The merger remains subject to approval by the Arkansas, Delaware and Illinois Departments of Insurance
and the satisfaction or waiver of the other closing conditions set
forth in the merger agreement. The merger is expected to close in
February 2011.
About Fairfax and First
Mercury
Fairfax is a financial services
holding company which, through its subsidiaries, is engaged in
property and casualty insurance and reinsurance and investment
management.
First Mercury provides insurance products and services primarily
to the specialty commercial insurance markets, focusing on niche
and underserved segments. During the Company's 37 years of
underwriting risks, First Mercury has developed the underwriting
expertise and cost-efficient infrastructure which has enabled it to
effectively underwrite such risks.
Forward-looking Statements
This press release includes certain forward-looking statements.
Such forward-looking statements are subject to known and unknown
risks, uncertainties and other factors which may cause the actual
results, performance or achievements of Fairfax or First Mercury to be materially
different from any future results, performance or achievements
expressed or implied by such forward-looking statements. Such
factors include, among others, the timing and completion of the
merger, the outcome of any legal proceedings relating to the
merger, the effect of the announcement on First Mercury's customer
relationships, operating results and business generally. Such
factors also include, but are not limited to, the risks and
uncertainties described in Fairfax's reports filed with the SEC and
securities regulatory authorities in Canada, which are available at www.sec.gov and
www.sedar.com, and in First Mercury's reports, including its Annual
Report on Form 10-K for the year ended December 31, 2009, filed with the SEC, which are
available at www.sec.gov. Fairfax
and First Mercury disclaim any intention or obligation to update or
revise any forward- looking statements, except as required by
law.
SOURCE First Mercury Financial Corporation