Cameco Shares Fall 16% After Deal to Buy Westinghouse Electric

By Kathryn Hardison

Shares of Cameco Corp. slid 16% to $29.86 on Wednesday after the company agreed to acquire Westinghouse Electric Co. through a partnership with Brookfield Renewable Partners LP.

Cameco will own a 49% interest in Westinghouse, and Brookfield Renewable, with its institutional partners, will own a 51% stake, the companies said Tuesday. The total enterprise value for Westinghouse is roughly $7.88 billion, which includes an estimated $4.5 billion in equity and the rest in debt.

Cameco, the world's largest publicly-traded uranium company, said it has enough liquidity to finance its share of the deal. Concurrently, it said Tuesday that it plans to sell $650 million work of the company's stock, priced at $21.95 a share.

Cameco shares are up 8.3% for the year.

Westinghouse will be acquired from Brookfield Business Partners LP, the entity that Brookfield Asset Management Inc. uses to operate business services and industrial operations of its private-equity group.

Shares of Brookfield Business Partners were up 5% to $19.59, while shares of Brookfield Asset Management were down 1.5% at $52.80.

Write to Kathryn Hardison at [e-mail]

(END) Dow Jones Newswires

October 12, 2022 11:51 ET (15:51 GMT)

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