Prem Watsa, the Hyderabad-born billionaire who built Fairfax Financial Holdings into a global insurance and investment business, is once again in focus following a proposed ownership change at IDBI Bank. Often described as the “Warren Buffett of Canada”, Watsa remains chairman and chief executive of Fairfax, which has emerged as a key player in the proposed transaction.
The Union Cabinet has approved Fairfax’s proposed acquisition of a 60.72% stake in IDBI Bank for ₹52,877 crore. The deal involves shares held by the Indian government and Life Insurance Corporation of India (LIC). According to an earlier Mint report, the government would sell its 30.48% stake, while LIC would divest 30.24%.
Following the proposed transaction, the government would retain a 15% stake in the lender, while LIC would continue to hold 19%. The acquisition remains subject to the necessary regulatory clearances.
Behind the proposed deal is Watsa’s journey from a modest upbringing in India to building one of Canada’s prominent financial services businesses.
Credits: Mint
From Hyderabad to IIT Madras
Born in 1950 near Hyderabad, Watsa was the third of four children. His father worked as an English and mathematics teacher before becoming a school principal. Although the family had limited financial resources, education, honesty and hard work were central to their values.
Watsa excelled in mathematics and chemistry and initially pursued chemical engineering on his father’s advice. He attended IIT Madras between 1966 and 1971, graduating with an engineering background. However, his interests gradually shifted towards business and investing.
During his college years, Watsa managed sports teams and developed friendships that continued long after graduation. He also met Nalini Loganadhan during his final year at the institute. The two married a few years later, beginning a partnership that would continue through his professional journey.
Moving to Canada With Just $8
Watsa initially failed to gain admission to the Indian Institute of Management. Rather than abandoning his ambitions, he worked towards improving his prospects and secured admission on his second attempt. He eventually chose to move to Canada, where his elder brother was already living.
According to the Horatio Alger Association, Watsa arrived in Canada with just $8 and initially stayed with his brother’s family. To finance his MBA, he went door to door selling air conditioners and furnaces while studying at the University of Western Ontario’s business school.
His transition into the Canadian job market was not immediate. In 1974, he secured a position as an investment analyst at Confederation Life Insurance. His manager, John Watson, became an important mentor and introduced him to the investment philosophy of Benjamin Graham, whose emphasis on value investing would influence Watsa’s later decisions.
Building Fairfax Through Insurance and Investments
After spending nine years at Confederation Life, Watsa helped establish Hamblin Watsa Investment Counsel. In 1985, he organised investors to acquire control of a small Canadian trucking insurer, laying the foundation for what would become Fairfax Financial Holdings.
Under his leadership, Fairfax expanded through acquisitions across property and casualty insurance, reinsurance and related financial services. The company developed an international presence while using its insurance operations to support a broader investment strategy.
Watsa’s approach drew comparisons with Warren Buffett, particularly because of the importance he placed on long-term investing and insurance businesses. Fairfax’s investment portfolio has included stakes in companies such as BlackBerry and General Electric.
Beyond financial performance, Watsa has also emphasised the importance of employees, customers and shareholders. He has spoken about Fairfax’s commitment to contributing to communities in which its businesses operate.
Wealth, Family and Philanthropy
Forbes estimated Watsa’s net worth at $2.5 billion as of October 14, 2026. Its annual wealth history recorded his fortune at $2.7 billion in 2026, compared with $2.2 billion in 2025, $1.7 billion in 2024 and $1 billion in 2015. These estimates can fluctuate with market valuations and investment performance.
At 76, Watsa is a Canadian citizen based in Toronto. He is married to Nalini and has three children. His wealth is primarily associated with his interests in insurance and investments through Fairfax Financial Holdings.
Watsa has identified faith, family and business as central pillars of his life. Alongside his wife, he has also supported educational and charitable initiatives through donations and community involvement.
Credits: Fortune India
What the IDBI Bank Deal Means for Fairfax
Fairfax’s proposed acquisition of a controlling stake in IDBI Bank represents a significant development in the company’s Indian investment interests. The transaction would place the group at the centre of a major ownership transition involving one of India’s established lenders.
For Watsa, whose business has grown through insurance operations, investments and strategic acquisitions, the proposed deal adds another chapter to his association with the Indian market.
The transaction’s completion will depend on regulatory approvals and the fulfilment of applicable conditions. If finalised, it would mark a major milestone for Fairfax in India while bringing renewed attention to the journey of an entrepreneur who moved from Hyderabad to Canada and built a global financial services business.
