TORONTO, June 10, 2013 /CNW/ - E-L Financial Corporation
Limited (ELF, ELF.PR.F, ELF.PR.G, ELF.PR.H) today announced an
agreement to sell its wholly-owned subsidiary The Dominion of
Canada General Insurance Company to The Travelers Companies, Inc.
(NYSE: TRV) for $1.125 billion in
cash, subject to adjustment. The transaction is expected to close
before the end of 2013, subject to regulatory approval and
customary closing conditions.
"We are extremely proud of what The Dominion team has achieved
over the years. We could not be happier that Travelers, a
highly respected and well capitalized firm, will be the platform
for future growth and success" stated Mr. Duncan N.R. Jackman, President and Chief
Executive Officer of E-L Financial.
E-L Financial operates as an investment and insurance holding
company. In addition to The Dominion, E-L Financial owns 80%
of The Empire Life Insurance Company, which underwrites life and
health insurance policies and provides segregated funds, mutual
funds and annuity products. E-L Financial remains committed
to Empire Life and the life insurance industry in Canada. E-L Financial has not yet
determined its plans for the proceeds of the sale.
Founded in 1887 with Sir John A.
Macdonald as its first president, The Dominion established
its headquarters in Toronto when
the city's population was just 181,000. Expanding across
Canada over the decades to come,
the company has withstood more than a century of economic change to
earn a reputation for stability, integrity and strength. "The
history of The Dominion is special and it parallels that of
Canada itself" says The Hon.
Henry N.R. Jackman, who is now
Honorary Chairman of the Board of Directors of The Dominion. The
Dominion is one of the country's largest property and casualty
insurers with its head office in Toronto at the corner of University Avenue and
Adelaide Street in downtown
Toronto. The Dominion also
has regional offices across Canada
in Vancouver, Edmonton, Calgary, London, Oakville, Markham, Ottawa, Charlottetown, and Halifax.
Caution Concerning Forward-Looking Statements
Certain statements made in this news release, including, but not
limited to, statements relating to the proposed sale of The
Dominion of Canada General
Insurance Company to The Travelers Companies, Inc., the expected
closing date of the transaction, and other statements that are not
historical facts, are forward-looking. Forward-looking statements,
by their very nature, are subject to inherent risks and
uncertainties and are based on several assumptions which give rise
to the possibility that actual results or events could differ
materially from our expectations expressed in or implied by such
forward-looking statements. As a result, we cannot guarantee that
any forward-looking statement will materialize and you are
cautioned not to place undue reliance on these forward-looking
statements. The forward-looking statements contained in this news
release describe our expectations at the date of this news release
and, accordingly, are subject to change after such date. Except as
may be required by Canadian securities laws, we do not undertake
any obligation to update or revise any forward-looking statements
contained in this news release, whether as a result of new
information, future events or otherwise. Forward-looking statements
are provided herein for the purpose of giving information about the
proposed transaction referred to above and its expected impact.
Readers are cautioned that such information may not be appropriate
for other purposes. The timing and completion of the
above-mentioned proposed transaction is subject to customary
closing conditions, termination rights and other risks and
uncertainties including, without limitation, regulatory filings and
approvals. Accordingly, there can be no assurance that the proposed
transaction will occur, or that it will occur at the expected time
or on the terms and conditions contemplated in this news release.
The proposed transaction could be modified, restructured or
terminated. There can also be no assurance that the strategic
benefits expected to result from the transaction will be fully
realized.
SOURCE E-L Financial Corporation Limited