FBD in €70m bond deal with Fairfax

FBD, the troubled insurance group, said yesterday it had struck an agreement for an injection of €70m by Fairfax Holdings through a convertible bond.

The injection will help FBD to shore up its capital reserves.

The insurance company has been stricken by a record level of claims and last month announced urgent cost-cutting plans after unveiling losses of €96.4m for the first six months of the year.