Brookfield Asset Management

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Brookfield Asset Management Inc.
Public
Traded asTSXBAM.A
NYSEBAM
EuronextBAMA
S&P/TSX 60 component
IndustryFinancial services
Founded1899; 119 years ago (1899)
FounderWilliam Mackenzie
Frederick Stark Pearson
HeadquartersBrookfield Place, ,
Area served
Worldwide
Key people
Frank McKenna (Chairman)
Bruce Flatt (CEO)
ServicesAsset management
RevenueIncrease US$40.7 billion (2017)[1]
US$4.6 billion (2017)[1]
AUMUS$285.141 billion (2017)[1]
Total equityUS$79.9 billion (2017)[1]
Number of employees
80,000 operating employees
800 investment professionals[1]
SubsidiariesBrookfield Residential
Brookfield Property Partners[2]
Brookfield Infrastructure Partners
Brookfield Renewable Partners
Brookfield Business Partners
Brookfield Office Properties
Forest City Realty Trust
Websitewww.brookfield.com/ Edit this on Wikidata

Brookfield Asset Management Inc. is an alternative asset management company. It has around $285 billion of assets under management, focusing on real estate, renewable power, infrastructure and private equity.[3] The company's headquarters are located in Toronto, and it also has corporate offices in New York City, London, Rio de Janeiro and Sydney.[4][5]

History[edit]

The company was founded in 1899, as the São Paulo Tramway, Light and Power Company by William Mackenzie and Frederick Stark Pearson. Operating as in construction and management of electricity and transport infrastructure in Brazil.

In 1904, the Rio de Janeiro Tramway, Light and Power Company was founded by Mackenzie's group.[6]

In 1912, Brazilian Traction, Light and Power Company was incorporated in Toronto as a public company to develop hydro-electric power operations and other utility services in Brazil, becoming a holding company for São Paulo Tramway Co. and Rio de Janeiro Tramway Co.[7]

In 1916, Great Lakes Power Company was incorporated to provide hydro-electric power in Sault Ste. Marie and the Algoma District in Ontario.[8]

In 1966, Brazilian Traction, Light and Power Company changed its name to Brazilian Light and Power Company, and again in 1969, changed its name to Brascan Limited.[7] Brascan is a portmanteau of "Brasil" and "Canada".[9]

In 1979, the company's Brazilian assets were transferred to Brazilian ownership (Eletropaulo and Light S.A.), the company meanwhile having diversified to other areas.[7] The company provided electricity and tram services in São Paulo and Rio de Janeiro, and the Brazilian side after a later restructuring still operates as Light S.A., short for Brazilian Traction, Light and Power Co. Ltd.[10]

The company expanded and is now an investor in and operator of approximately $285 billion of real assets, with over 750 investment professionals and 80,000 operating employees in over 100 offices in 30 different countries.[citation needed] Its major public subsidiaries include Brookfield Infrastructure Partners, Brookfield Renewable Partners, Brookfield Property Partners, and Brookfield Business Partners[11]

Finances[edit]

For the fiscal year 2017, Brookfield Asset Management reported earnings of US$1.317 billion, with an annual revenue of US$40.786 billion, an increase of 67.1% over the previous fiscal cycle. Brookfield Asset Management's shares traded at over $38 per share, and its market capitalization was valued at over US$40.8 billion in November 2018.[12]

Year Revenue
in mil. USD$
Net income
in mil. USD$
Total Assets
in mil. USD$
Price per Share
in USD$
2005 5,256 1,662 26,058 7.61
2006 6,897 1,170 40,708 12.17
2007 9,343 787 55,597 16.74
2008 12,868 649 53,611 13.22
2009 12,082 454 61,902 9.33
2010 13,623 3,195 78,131 13.76
2011 15,921 3,674 91,030 16.72
2012 18,697 2,747 108,644 18.69
2013 20,830 3,844 112,745 22.42
2014 18,364 2,956 129,480 27.22
2015 19,913 2,207 139,514 32.47
2016 24,411 1,518 159,826 32.10
2017 40,786 1,317 192,720 38.17

Birch Mountain class action[edit]

In a process supervised by the Alberta courts, PricewaterhouseCoopers (PwC) was appointed receiver of Birch Mountain Resources in November 2008 after Birch Mountain had defaulted on its debts. Birch Mountain's assets were transferred to Tricap Partners Ltd, now operating under the Hammerstone Corporation, a subsidiary of Brookfield Special Situations Group, for approximately $50 million.[13]

A group called Birch Mountain Shareholders for Justice filed a lawsuit against Brookfield Asset Management on September 22, 2010 with the Superior Court of Justice in Ontario, Canada. The lawsuit challenged the acquisition and transfer of assets from a public company, Birch Mountain Resources, to the Hammerstone Corporation.[14]

The case was dismissed.[15] On May 25, 2015, the plaintiffs filed a notice of appeal in the case, in McDonald v. Brookfield Asset Management Inc. in the Court of Appeal Alberta.[16] The appeal was heard on June 15, 2016[17] over the Hammerstone Project MegaQuarry in Alberta. On Dec. 5, 2016, the Court of Appeal of Alberta again dismissed the case.[18]

See also[edit]

References[edit]

  1. ^ a b c d e "Brookfield Asset Management Reports 2017 Results" (PDF). Brookfield Asset Management. 31 December 2017. Retrieved 18 June 2018.
  2. ^ "Schedule 13D/A". U.S. Securities and Exchange Commission. Retrieved December 2, 2013.
  3. ^ "Bloomberg Markets". Bloomberg.com. Retrieved 2017-05-01.
  4. ^ "Global Presence". www.brookfieldproperties.com. Retrieved 2017-05-03.[dead link]
  5. ^ Kiesche, SA Editor Liz (2018-09-26). "Brookfield Asset Management sees excess cash ~$60B over 10 years". Seeking Alpha. Retrieved 2018-10-01.
  6. ^ Regehr, Theodore. "Mackenzie, Sir William". Dictionary of Canadian Biography. Retrieved December 8, 2013.
  7. ^ a b c "Brascan Corporation History". International Directory of Company Histories. Retrieved December 8, 2013.
  8. ^ "INDUSTRIES: Business History of Utilities". Business History. Retrieved December 8, 2013.
  9. ^ Won, Shirley (September 16, 2005). "What's in a name? Plenty if it's Brascan". The Globe and Mail.
  10. ^ "Brazilian Traction Light and Power Company Ltd". Bloomberg L.P. Retrieved December 4, 2013.
  11. ^ Brewer, Reuben Gregg (2018-09-16). "Better Buy: Brookfield Infrastructure Partners L.P. vs. Brookfield Asset Management Inc". The Motley Fool. Retrieved 2018-10-01.
  12. ^ "Reports & Filings". bam.brookfield.com. Retrieved 2018-11-07.
  13. ^ "Birch Mountain names receiver" Archived 2014-04-11 at the Wayback Machine.,Calgary Herald, Canada, 7 November 2008 Retrieved 22 July 2012
  14. ^ Gray, Jeff. "Squeezed-out Birch Mountain shareholders take on Brookfield",The Globe and Mail, Canada, 15 November 2011 Retrieved 22 July 2012
  15. ^ McDonald v Brookfield Asset Management Inc Archived 2015-09-23 at the Wayback Machine., 2015 ABQB 281
  16. ^ "In the Court of Appeal of Alberta/Citation: McDonald v Brookfield Asset Management Inc., 2016 ABCA 375" (PDF). 5 December 2016. Retrieved 1 June 2017.
  17. ^ "Former Toronto Maple Leaf Lanny McDonald leads investors in fight against Brookfield Asset Management Inc. in Alberta Court of Appeal". Aggregates Manager. 2016-06-27. Retrieved 2017-06-01.
  18. ^ "Case Developments" (PDF). Brookfield Class Action Website. Retrieved 1 June 2015.