Law firm Stephenson Harwood LLP is advising the management team of RiverStone Europe, led by Luke Tanzer, on its acquisition by funds managed by CVC Capital Partners.
Canadian-headquartered Fairfax Financial Holdings Limited, which is listed on TSX, will sell all of its interests in RiverStone Europe for approximately US$750 million, with up to an additional US$235.7 million being payable to Fairfax post-completion under a contingent value instrument. OMERS, the pension plan for Ontario’s municipal employees, has also agreed to sell its interests in the company for an undisclosed amount.
Private equity firm CVC is acquiring RiverStone, the run-off insurance services provider, through its Strategic Opportunities Fund II. The fund, which focuses on businesses that are suited to longer-hold investments, will provide RiverStone Europe with the capability and opportunity for further growth. The transaction is subject to various regulatory approvals, and is expected to close in early 2021.
The Stephenson Harwood team was led by private equity partner Malcolm MacDougall, with support from senior associate Chris Manning, associates Rajiv Kakkad and Dafni Loizou, and employment senior associate Serena Foulkes.