Brookfield Business Partners

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Brookfield Business Partners L.P.
Company type Public
NYSE:  BBU
TSX:  BBU.UN
Industry Private equity
FoundedJune 2016;8 years ago (2016-06)
Headquarters,
Canada
Area served
Worldwide
Key people
Anuj Ranjan (CEO) [1]
Cyrus Madon (executive chairman)
[1]
Services Financial services
AUM US$15.8 billion (2023) [2]
Parent Brookfield Corporation
Website bbu.brookfield.com

Brookfield Business Partners L.P. is a publicly traded limited partnership and the primary public vehicle through which Brookfield Corporation, its parent company, owns and operates the business services and industrial operations of its private equity group. [3] It was formed through a spin-off from Brookfield Asset Management (now named Brookfield Corporation) in June 2016. [3]

History

Its units trade on the Toronto Stock Exchange (BBU.UN) and New York Stock Exchange (BBU). Brookfield Business Partners is led by Chief Executive Officer Anuj Ranjan who joined Brookfield Asset Management in 2006, and leads its global private equity group, and is a managing partner of the parent company. [4] [5] Cyrus Madon, who joined Brookfield in 1998, is executive chairman. [6] [7] [8]

In 2016, the company made its first major acquisition, agreeing to acquire a 70% stake in Brazil's largest private water and sewage company, Odebrecht Ambiental, with the remaining 30% continuing to be held by Fundo de Investimento do Fundo de Garantia do Tempo de Servico. [9] The company was renamed BRK Ambiental. [10]

In 2017, the company sold Maax, a bathroom fixtures maker, to American Bath for more than twice the value it acquired it for in 2008. [8] In the first quarter of 2017, the company announced an agreement to acquire an approximate 85% stake in Greenergy, a supplier of road fuels in the UK, [8] and an agreement to purchase Loblaw Companies' network of gas stations (which were rebranded afterwards to Mobil under a franchise agreement with Imperial Oil). [11] [12]

On April 6, 2018, Toshiba completed its sale of Westinghouse Electric Company to Brookfield Asset Management, through its subsidiary, Brookfield Business Partners, and other partners. [13] [14]

In 2019, Brookfield Business Partners bought 45% of the company BrandSafway. BrandSafway was valued at $6.7 billion at the time of the purchase. [15]

In October 2021, Brookfield announced that it would acquire Scientific Games' lottery division for $6.05 billion. [16] [17]

In April 2022, Brookfield acquired the auto dealer services company CDK Global for $6.41 billion. [18] A cyberattack on CDK Global caused Brookfield's stocks to fall on 21st June 2024. [19]

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References

  1. 1 2 Nair, Dinesh (2 February 2024). "Brookfield Names Ranjan CEO of $140 Billion Private Equity Arm". Bloomberg.
  2. "Brookfield Business Partners L.P. Annual Report" (PDF). bbu.brookfield.com.
  3. 1 2 Smith, Ryan. "Brookfield Asset Management completes spin-off". Wealth Professional Canada. Retrieved 2017-05-07.
  4. Falconer, Kirk (2 February 2024). "Anuj Ranjan tapped to lead Brookfield's private equity business". Buyoutsinsider.com.
  5. "Anuj Ranjan". Brookfield.com.
  6. Bradshaw, James (21 February 2024). "Brookfield executives say private equity business could double". The Globe and Mail.
  7. "Cyrus Madon". Brookfield.com.
  8. 1 2 3 "Brookfield doubles its money with sale of Maax, will acquire Greenergy - PE Hub". PE Hub. 2017-02-06. Retrieved 2017-05-07.
  9. "Brookfield Agrees to Buy 70% Stake in Odebrecht for $768 Million". Bloomberg.com. 2016-10-27. Retrieved 2017-05-07.
  10. "Brookfield closes $908 mln buy of Odebrecht Ambiental, renames - PE Hub". PE Hub. 2017-04-26. Retrieved 2018-06-27.
  11. "Loblaw to sell gas station business to Brookfield in $540-million deal". The Globe and Mail. Retrieved 2017-05-07.
  12. "Mobil brand of gas stations to launch in Canada after deal for 213 Loblaws-owned locations". CBC News. Retrieved 2017-10-28.
  13. "Toshiba sells Westinghouse-related assets in USA". World Nuclear News. 6 April 2018. Retrieved 12 April 2018.
  14. "Brookfield to buy Westinghouse's global nuclear business in $4.6-billion deal | Financial Post". January 4, 2018.
  15. Khan, Shariq. "Brookfield to take 45% stake in BrandSafway for $1.3 bln". nasdaq.com. Nasdaq, Inc. Retrieved 26 January 2020.
  16. Richard N. Velotta (October 29, 2021). "Scientific Games selling lottery division for $6.05B". Las Vegas Review-Journal. Retrieved 2021-10-31.
  17. "Brookfield Acquires Scientific Games' Global Lottery Services". Gambling News. 5 April 2022. Retrieved 3 May 2022.
  18. Balu, Nivedita; Mathews, Eva (2022-04-07). "Brookfield to buy automotive software maker CDK Global for $6.41 bln". Reuters. Retrieved 2022-04-30.
  19. "Software company plans to pay tens of millions in ransom to hackers who crippled car dealerships across North America". Fortune. Retrieved 2024-06-30.