Ms. Monica Thakur reports
BROOKFIELD ASSET MANAGEMENT ANNOUNCES ESTABLISHMENT OF NORMAL COURSE ISSUER BID
The Toronto Stock Exchange has accepted a notice filed by Brookfield Asset Management Inc. of its intention to commence a normal course issuer bid to purchase up to 31,785,036 Class A limited voting shares, representing approximately 10 per cent of the public float of Brookfield Asset Management's outstanding Class A shares. Purchases under the bid will be made on the open market through the facilities of the TSX, the New York Stock Exchange and/or alternative trading systems. The period of the normal course issuer bid will extend from Jan. 11, 2023, to Jan. 10, 2024, or an earlier date should Brookfield Asset Management complete its purchases. Brookfield Asset Management will pay the market price at the time of acquisition for any Class A shares purchased or such other price as may be permitted.
As at Dec. 28, 2022, Brookfield Asset Management's 412,201,980 total issued and outstanding Class A shares represented a 25-per-cent interest in the approximately 1.65 billion shares of the asset management business, with the remaining 75 per cent held by Brookfield Corp. Of the 412,201,980 issued and outstanding Class A shares, 317,850,364 Class A shares represented the public float. In accordance with the rules of the TSX, the maximum daily purchase on the TSX under this bid will be 207,157 Class A shares, which is 25 per cent of 828,628 (the average daily trading volume for Class A shares on the TSX for the four weeks ended Jan. 6, 2023).
Brookfield Asset Management is making its normal course issuer bid because it believes that, from time to time, the market price of its Class A shares may not fully reflect the underlying value of its business and its future business prospects. Brookfield Asset Management believes that, in such circumstances, the outstanding Class A shares represent an attractive investment for Brookfield Asset Management, since a portion of its excess cash generated on an annual basis can be invested for an attractive risk-adjusted return through the issuer bid. All Class A shares acquired by Brookfield Asset Management under this bid will be cancelled and/or purchased by a non-independent trustee pursuant to the terms of Brookfield Asset Management's long-term incentive plans.
Brookfield Asset Management also announced that it has entered into an automatic purchase plan in relation to the normal course issuer bid. The automatic purchase plan allows for the purchase of Class A shares during the term of the normal course issuer bid, subject to certain trading parameters, at times when Brookfield Asset Management ordinarily would not be active in the market due to its own internal trading blackout period, insider trading rules or otherwise. Outside of these periods, Class A shares will be repurchased in accordance with management's discretion and in compliance with applicable law.
About Brookfield Asset Management Inc.
Brookfield Asset Management is a leading global alternative asset manager with over $750-billion of assets under management across real estate, infrastructure, renewable power and transition, private equity, and credit. It invests client capital for the long term with a focus on real assets and essential service businesses that form the backbone of the global economy. Brookfield Asset Management offers 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. It draws on Brookfield's heritage as an owner and operator to invest for value and generate strong returns for its clients, across economic cycles.
We seek Safe Harbor.
© 2023 Canjex Publishing Ltd. All rights reserved.