Western to Acquire Canadian Farm Insurance and Stockmens Insurance, Specialized Property and Casualty Livestock Insurers; Announces Concurrent Private Placement of Approximately $50 Million

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TORONTO, Oct. 19, 2026 (GLOBE NEWSWIRE) — The Western Investment Company of Canada Limited (TSXV: WI) (“ Western ” or the “ Company ”) announces that it has entered into a definitive agreement to acquire Canadian Farm Insurance Corp. (“ Canadian Farm ”), an Alberta-regulated property and casualty insurer, and Stockmens Insurance (“ Stockmens ”), managing general agencies operating in Canada and the United States (the “ Transaction ”). All funds described in this release are provided in Canadian dollars.

To implement the Transaction, Western has entered into a definitive purchase agreement with affiliates of Nilsson Bros. Inc., an integrated livestock and agricultural services group (“ NBI ”), under which Western will acquire all of the issued and outstanding shares of Canadian Farm and Stockmens for a combined purchase price of $52.5 million, payable on closing. NBI is one of the largest operators of livestock auction markets in Western Canada. The acquisition of Canadian Farm is conditional upon regulatory approval.

The purchase price comprises $42.3 million for Canadian Farm, representing approximately 7x 2026 estimated adjusted profit before tax and $10.2 million for Stockmens, representing approximately 10x 2026 estimated profit before tax.

Canadian Farm has served the Western Canadian cattle industry for decades and is licensed to write insurance across the country (excluding Quebec). It is one of the few insurers in Canada with a dedicated transit insurance business for cattle auction markets. Transit insurance is an embedded product that protects animals from the producer’s yard through the auction. Canadian Farm also writes livestock mortality insurance with market unique extensions that offer coverage for breeding and fertility.

Stockmens comprises two MGAs that distribute mortality insurance for breeding bulls and other high-value cattle on behalf of a Lloyd’s syndicate in Canada and an admitted carrier in the U.S.

The Canadian Farm and Stockmens businesses provide Western with an established, profitable insurance platform that has significant opportunity for scalable expense-lite growth.