Brookfield selling Westinghouse nuclear assets

[samtheinvestorma]

Apparently for a 6X gain according to the title. I don’t have access to the premium side of the site for additional details.

Brookfield seals $8bn sale of US nuclear business Westinghouse to renewables...

This was also posted over on the Nuclear Power discussion board, and has a few more details.

Westinghouse to be acquired again

Cameco Corporation (“Cameco”) and Brookfield Renewable Partners (“Brookfield Renewable”), together with its institutional partners (“the consortium”), are forming a strategic partnership to acquire Westinghouse Electric Company (“Westinghouse”), one of the world’s largest nuclear services businesses. Brookfield Renewable, with its institutional partners, will own a 51% interest in Westinghouse and Cameco will own 49%. Bringing together Cameco’s expertise in the nuclear industry with Brookfiel…

[sanjayjc]

It took me a few minutes to realize that here, one Brookfield entity (Brookfield Business Partners: BBU) is selling Westinghouse to a consortium whose majority partner is another Brookfield entity (Brookfield Renewable Partners: BEP)!

From this BBU article:

“When combined with distributions received to date, Brookfield’s expected proceeds will equate to approximately 6 times its invested capital, a 60% IRR and $4.5 billion of total profit”

While this is great for BBU unitholders, I hope this doesn’t mean BEP overpaid.

Sanjay (long BEPC)