Brookfield acquires Toshiba’s nuclear division, Westinghouse Electric, for $4.6B
Brookfield Business Partners announced Thursday, Jan. 4 that it had agreed to buy Westinghouse Electric, Toshiba’s nuclear unit, in a deal valued at $4.6 billion.
The Associated Press reports this deal comes on the heels of Westinghouse Electric Co., a nuclear unit of Toshiba, declaring for bankruptcy in 2017. This left several of its nuclear projects in question, which Brookfield is attempting to clear up as the acquisition was announced.
This includes two failed nuclear reactor projects in South Carolina, which left thousands jobless and a site very much in flux. A.P. reports Brookfield proposed to pay $1.3 billion in refunds to utility customers hit by this failure that was blamed on Westinghouse Electric’s owners.
Brookfield said in a news release the $4.6 billion deal includes $1 billion of equity and $3 billion of long-term debt financing with the rest covering “pension, environmental and other operating obligations.” The deal does not include any cash, so that lines up with the covering of pensions and other operating obligations.
The company, a subsidiary of Canada’s Brookfield Asset Management, described the Westinghouse unit as a world leader of nuclear power plant service provider. Reuters reports that Westinghouse provides service to about 80 percent of the planet’s 450 commercial reactors.
Brookfield Business Partners announced Thursday, Jan. 4 that it had agreed to buy Westinghouse Electric, Toshiba’s nuclear unit, in a deal valued at $4.6 billion.
The Associated Press reports this deal comes on the heels of Westinghouse Electric Co., a nuclear unit of Toshiba, declaring for bankruptcy in 2017. This left several of its nuclear projects in question, which Brookfield is attempting to clear up as the acquisition was announced.
This includes two failed nuclear reactor projects in South Carolina, which left thousands jobless and a site very much in flux. A.P. reports Brookfield proposed to pay $1.3 billion in refunds to utility customers hit by this failure that was blamed on Westinghouse Electric’s owners.
Brookfield said in a news release the $4.6 billion deal includes $1 billion of equity and $3 billion of long-term debt financing with the rest covering “pension, environmental and other operating obligations.” The deal does not include any cash, so that lines up with the covering of pensions and other operating obligations.
The company, a subsidiary of Canada’s Brookfield Asset Management, described the Westinghouse unit as a world leader of nuclear power plant service provider. Reuters reports that Westinghouse provides service to about 80 percent of the planet’s 450 commercial reactors.
