Cameco, Brookfield complete Westinghouse acquisition

November 10, 2023, 9:30AMNuclear News

Cameco, the front-end uranium mining, milling, and conversion company headquartered in Saskatchewan, Canada, is now officially a co-owner of Westinghouse Electric Company—alongside Brookfield Asset Management, its publicly listed affiliate Brookfield Renewable Partners, and its institutional partners.

On Tuesday, Cameco announced the completion of the acquisition, which sees the firm acquiring a 49 percent share of the Pennsylvania-based nuclear services business. Brookfield will retain a 51 percent interest.

A multinational investment management company, Brookfield purchased Westinghouse from Toshiba Corporation in August 2018 for $4.6 billion. The proposed deal with Cameco was announced in October of last year.

According to Cameco’s November 7 announcement, the total enterprise value of $7.9 billion was adjusted for working capital balances at the close, resulting in a final enterprise value of $8.2 billion. Westinghouse has $3.8 billion in outstanding debt commitments, for which it maintains responsibility after closing and which reduces the equity cost of the acquisition, Cameco added.

Official words: “This is a historic day for Cameco as we join Brookfield to complete our purchase of Westinghouse,” stated Tim Gitzel, Cameco’s president and chief executive officer. “Since first announcing this deal a year ago, we believe the business prospects for Westinghouse have significantly improved. The sustained and positive momentum for nuclear energy has been undeniable as countries and companies around the world strive to meet their net-zero commitments and growing energy needs through clean and secure supply.”

Brookfield Business Partners CEO Cyrus Madon said that his firm was “pleased to complete the sale of Westinghouse and crystallize significant value for our investors,” adding that Westinghouse “is led by a world-class management team and is exceptionally well positioned for future growth under its new ownership.”

And in a separate statement from Westinghouse, company president and CEO Patrick Fragman commented, “This new era of Westinghouse builds upon the strong foundation established with the previous owners, which have been exceptional supporters and stewards of Westinghouse in its repositioning. As we look to the future, Westinghouse is strategically positioned with Brookfield and Cameco to leverage expertise in our respective areas to better serve our customers and achieve a carbon-free future.”

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