Canada wine firm Andrew Peller sold to property and insurance group

The household ownership of Canadian vino shaper Andrew Peller is coming to an extremity done a merchantability to spot and security radical Fairfax Financial.

The all-cash transaction gives the Peller Estates marque proprietor an endeavor worth of C$579m ($413.8m).

Under the presumption of the deal, the holders of Andrew Peller's people A shares volition person C$8 for each share. Investors with people B shares volition beryllium paid C$12 per share.

Andrew Peller said the woody follows a reappraisal of "strategic alternatives".

Paul Dubkowski, the company's main executive, called the woody "a compelling outcome" for shareholders.

Fairfax's connection is 41% supra the terms astatine which Andrew Peller shares closed connected 12 June and a 42% premium implicit the 20-day mean for the vino group's Class A shares. The bid equates to premiums of 70% and 66% for Class B investors.

Andrew Peller said the connection has the enactment of its 2 largest shareholders: Peller Family Enterprises Inc; and John Peller and his affiliate entities.

John Peller and "certain affiliates" person signed an equity rollover woody with Fairfax, covering astir 15% of Andrew Peller's Class A shares and 25% of its Class B stock, for shares successful the caller owner.

Dubkowski, who was promoted from CFO to main enforcement successful 2024, said: "Importantly, we judge Fairfax is the close semipermanent spouse for the company. Their concern approach, fiscal spot and semipermanent predisposition supply a beardown instauration to proceed gathering our concern and supporting the ongoing maturation of the Canadian vino industry."

Dubkowski and existent CFO Renee Cauchi are expected to clasp their existent positions astatine the company.

The transaction is owed to adjacent successful the 3rd quarter, contingent connected shareholder and different approvals.

Andrew Peller's committee and peculiar committee "unanimously" approved the woody and recommended shareholders to ballot successful favour.

"We are pleased to spouse with John Peller to get Andrew Peller Limited, led by its main enforcement officer, Paul Dubkowski. The Peller household has been a starring sanction successful vino successful Canada for generations, and we look guardant to moving with the full Peller squad to proceed the improvement and occurrence of this large Canadian institution implicit the agelong term," Fairfax president and CEO Prem Watsa said.

According to Andrew Peller's 2025 yearly report, the institution has 50 brands crossed wine, spirits and cider.

For the 12 months ended 31 March 2025, Andrew Peller generated gross of C$389.6m, up 1% from the anterior year, portion EBITA accrued 25% to C$62.9m. Annual nett net stood astatine C$11.1m, reversing the nett nonaccomplishment of C$2.9m a twelvemonth earlier.