Brookfield Asset Management completed a corporate restructuring, acquiring 73% of its asset management shares from Brookfield Corporation.
Quiver AI Summary
Brookfield Asset Management Ltd. and Brookfield Corporation have completed a significant corporate restructuring arrangement that enhances BAM's structure and increases shareholder ownership. In this arrangement, BAM acquired approximately 73% of its asset management business's common shares from Brookfield Corporation in exchange for newly issued Class A Limited Voting Shares. Following this transaction, BAM has about 1.637 billion Class A Shares outstanding, with Brookfield Corporation retaining a 73% interest. This move, approved by BAM shareholders and the Supreme Court of British Columbia, positions BAM for potential inclusion in major U.S. market indices, which is expected to broaden its shareholder base and improve share liquidity. BAM, a leading global alternative asset manager, manages over $1 trillion in assets across various sectors, while Brookfield Corporation focuses on long-term wealth generation through alternative asset management and other business ventures.
Potential Positives
- The completion of the arrangement enhances BAM’s corporate structure and broadens shareholder ownership, potentially leading to increased investor interest and confidence.
- The acquisition of approximately 73% of Brookfield’s asset management business signifies a major consolidation and may provide BAM with greater operational efficiencies.
- Connor Teskey's statement indicates that the transaction may lead to BAM's inclusion in major U.S. market indices, which could broaden the shareholder base and increase stock liquidity.
- BAM's substantial market capitalization of $95.3 billion reflects its significant position in the market, indicating strong investor confidence and potential for future growth.
Potential Negatives
- The arrangement resulted in BAM acquiring a majority stake (73%) in its asset management business, which could raise concerns about concentrated ownership and potential governance issues.
- Despite the transaction being approved by shareholders, the significant share issuance may dilute existing shareholders' equity and influence.
- BN retains a substantial interest (73%) in BAM, which could lead to potential conflicts of interest in future strategic decisions.
FAQ
What is the recent corporate arrangement involving Brookfield Asset Management?
Brookfield Asset Management has completed an arrangement acquiring 73% of Brookfield’s asset management business, enhancing its corporate structure and shareholder ownership.
How many shares of Brookfield Asset Management are currently outstanding?
Brookfield Asset Management has a total of 1,637,198,026 Class A Shares issued and outstanding after the recent transaction.
What is the market capitalization of Brookfield Asset Management?
As of February 3, 2025, Brookfield Asset Management's market capitalization is approximately $95.3 billion.
How will this transaction impact Brookfield Asset Management's stock?
This transaction is expected to allow for BAM's inclusion in major U.S. market indices, broadening the shareholder base and improving liquidity.
What is Brookfield Asset Management's primary investment focus?
Brookfield Asset Management focuses on long-term investments in real assets across renewable power, infrastructure, private equity, real estate, and credit.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$BAM Hedge Fund Activity
We have seen 210 institutional investors add shares of $BAM stock to their portfolio, and 243 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- MANUFACTURERS LIFE INSURANCE COMPANY, THE removed 4,125,127 shares (-60.1%) from their portfolio in Q3 2024, for an estimated $195,077,255
- ROYAL BANK OF CANADA added 4,058,116 shares (+25.5%) to their portfolio in Q3 2024, for an estimated $191,908,305
- GOLDMAN SACHS GROUP INC removed 2,225,404 shares (-59.3%) from their portfolio in Q3 2024, for an estimated $105,239,355
- TD ASSET MANAGEMENT INC added 1,752,564 shares (+12.9%) to their portfolio in Q3 2024, for an estimated $82,878,751
- BRITISH COLUMBIA INVESTMENT MANAGEMENT CORP removed 1,533,857 shares (-92.7%) from their portfolio in Q3 2024, for an estimated $72,536,097
- FMR LLC removed 1,504,454 shares (-7.3%) from their portfolio in Q3 2024, for an estimated $71,145,629
- DIMENSIONAL FUND ADVISORS LP removed 1,097,689 shares (-99.1%) from their portfolio in Q3 2024, for an estimated $51,909,712
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
NEW YORK, Feb. 04, 2025 (GLOBE NEWSWIRE) -- Brookfield Asset Management Ltd. (NYSE: BAM, TSX: BAM) and Brookfield Corporation (NYSE: BN, TSX: BN) today announced the completion of the previously-announced arrangement to enhance BAM’s corporate structure and broaden shareholder ownership (the “Arrangement”).
In the transaction, BAM acquired approximately 73% of the outstanding common shares of Brookfield’s asset management business, from BN in exchange for 1,194,021,145 newly-issued Class A Limited Voting Shares (“Class A Shares”) of BAM, on a one-for-one basis. As a result, today BAM has a total of 1,637,198,026 Class A Shares issued and outstanding, of which BN retains an approximately 73% interest. Based on BAM’s closing price on the NYSE on February 3, 2025 of $58.19, the company’s market capitalization is $95.3 billion.
The Arrangement was approved by BAM shareholders at a special meeting held on January 27, 2025. The Supreme Court of British Columbia issued a final order approving the Arrangement on January 30, 2025.
Connor Teskey, President of BAM, said: “This transaction paves the way for the stock’s inclusion in some of the most widely followed U.S. market indices, which should broaden our shareholder base and increase the liquidity of our shares.”
About Brookfield Asset Management
Brookfield Asset Management Ltd. (NYSE: BAM, TSX: BAM) is a leading global alternative asset manager, headquartered in New York, with over $1 trillion of assets under management across renewable power and transition, infrastructure, private equity, real estate, and credit. We invest client capital for the long-term with a focus on real assets and essential service businesses that form the backbone of the global economy. We offer a range of alternative investment products to investors around the world — including public and private pension plans, endowments and foundations, sovereign wealth funds, financial institutions, insurance companies and private wealth investors. We draw on Brookfield’s heritage as an owner and operator to invest for value and generate strong returns for its clients, across economic cycles.
For more information, please visit BAM’s website at www.bam.brookfield.com or contact:
Media:
Simon Maine Tel: +44 739 890 9278 Email: [email protected] |
Investor Relations:
Jason Fooks Tel: (212) 417-2442 Email: [email protected] |
About Brookfield Corporation
Brookfield Corporation is a leading global investment firm focused on building long-term wealth for institutions and individuals around the world. We have three core businesses: Alternative Asset Management, Wealth Solutions, and our Operating Businesses which are in renewable power, infrastructure, business and industrial services, and real estate.
We have a track record of delivering 15%+ annualized returns to shareholders for over 30 years, supported by our unrivaled investment and operational experience. Our conservatively managed balance sheet, extensive operational experience, and global sourcing networks allow us to consistently access unique opportunities. At the center of our success is the Brookfield Ecosystem, which is based on the fundamental principle that each group within Brookfield benefits from being part of the broader organization. Brookfield Corporation is publicly traded in New York and Toronto (NYSE: BN, TSX: BN).
For more information, please visit our website at bn.brookfield.com or contact:
Media:
Kerrie McHugh Tel: (212) 618-3469 Email: [email protected] |
Investor Relations:
Angela Yulo Tel: (416) 943-7955 Email: [email protected] |
Early Warning Disclosure
This press release is being issued pursuant to National Instrument 62-103 – The Early Warning System and Related Take-Over Bid and Insider Reporting Issues (“NI 62-103”), which requires a report to be filed under BAM’s profile on SEDAR+ ( www.sedarplus.com ) containing additional information respecting the foregoing matters. BAM’s head office address is 250 Vesey Street, 15th Floor, New York, New York, 10281-0221, United States.
BN has filed on SEDAR+ an early warning report in compliance with NI 62-103 to disclose changes in its ownership of securities of BAM as a result of the Arrangement.
BN holds Class A Shares for investment purposes. BN has no definitive plans or future intentions as of the date of this press release that relate to, or would result in, acquiring additional securities of BAM, disposing of securities of BAM, or any of the other actions enumerated in paragraphs (a) through (k) of Item 5 of BN’s early warning report filed on SEDAR+. BN will continue to review its investment alternatives and may acquire additional Class A Shares or other securities of BAM or may, subject to market conditions, applicable securities laws and other relevant factors, sell Class A Shares or other securities of BAM it now holds in the open market (where such a market exists) or in privately negotiated transactions to one or more persons in accordance with the provisions of applicable securities legislation.
For further information, including a copy of the corresponding report filed with Canadian securities regulators, please visit www.sedarplus.ca or contact the office of the Corporate Secretary of Brookfield Corporation at Brookfield Place, Suite 100, 181 Bay Street, Toronto, Ontario, Canada, M5J 2T3, Telephone: (416) 363-9491.