Post by
retiredcf on Apr 28, 2022 8:54am
CIBC
Brookfield Business Partners (Outperformer, US$37 Price
Target)
Brookfield Business Partners is scheduled to report earnings on Friday, May 6 prior to
8:00 a.m. ET. A conference call will be held later at 11:00 a.m. ET (1-866-688-9431
code: 8592328).
BBU has been highly active on the acquisition front lately, announcing three transactions
since mid-March: La Trobe (~US$250 million equity investment), Nielsen (~US$600 million)
and CDK Global (~US$500 million). The acquisition of the global lottery services and
technology business of Scientific Games Corporation is also expected to close in Q2/22
(~US$780 million). We estimate that pro forma liquidity stands at US$1.45 billion, including
the preferred share commitment by BAM and assuming all pending acquisitions close. As a
result, we believe there is adequate liquidity to fund all planned investments without
accessing public markets or accelerating plans to recycle capital from existing investments.
However, in the context of a busy period for capital deployment, we suspect that the outlook
for the monetization pipeline will remain a central focus for investors. In the interim,
operational updates from the larger portfolio companies will influence how the units trade.
Comment by
argon12 on May 20, 2022 3:52pm
Time for the NCIB to begin in a big way. perhaps Flatt could set the standard and buy a million shares
Comment by
argon12 on May 23, 2022 12:46pm
BAM says that BBU.UN and BBUC are the economic equivalent. The difference in share price is very wide. why are they not taking advantage of this collapse in share price to Dona meaningful buyback. this has been the worst spin off of them all. Having a pidly yield, poor liquidity all adds up to no interest.