Canada-based financial services giant Fairfax has increased its stake in premier blue chip John Keells Holdings (JKH) to 19.4% from 13% previously.

This was following Fairfax exercising its option to convert 110,000,000 debentures, with a face value of Rs. 14.30 billion.

In August 2022, JKH issued 208,125,000 LKR denominated debentures, with a face value of Rs. 27.06 billion, to HWIC Asia Fund (HWIC), a subsidiary of Fairfax Financial Holdings Ltd.

The debentures were then issued at Rs.130 per debentures and with the option for conversion to shares at a ratio of 1:1, based on the approval granted by the shareholders at the time.

The remaining outstanding debentures post this conversion amount to 98,125,000 debentures with a face value of Rs. 12.76 billion. The remaining debentures are eligible for conversion till 12 August 2025.