Brookfield to dispose US $500M Brookfield Renewable stake

CPE News (5/26/2020) – Brookfield Renewable Partners L.P. (TSX: BEP.UN; NYSE: BEP) and Brookfield Asset Management Inc. (NYSE: BAM, TSX: BAM.A) have entered into a bought deal secondary offering of 10,236,000 limited partnership units of Brookfield Renewable by certain affiliates of BAM, at US $48.85 per unit for gross proceeds of US $500,028,600.

BAM affiliates have also granted the underwriters an over-allotment option for an additional 15% of the LP units, if fully exercised, for total gross proceeds of US $575,032,890.

BAM currently owns approximately 61% of Brookfield Renewable’s issued and outstanding LP units on a fully-exchanged basis. Upon the closing of the offering, BAM will own approximately 57% of Brookfield Renewable’s issued and outstanding LP units.

The offering is expected to close on or about June 3, 2020.

Brookfield Renewable Partners, the flagship listed renewable power company of Brookfield Asset Management Inc., operates one of the world’s largest publicly traded, pure-play renewable power platforms. Our portfolio consists of hydroelectric, wind, solar and storage facilities in North America, South America, Europe and Asia, and totals over 19,000 megawatts of installed capacity and a 13,000 megawatt development pipeline.

photo credit: Brookfield Renewable

News Release

Brookfield Renewable Announces Offering of $500 million of LP Units by Brookfield Asset Management

All amounts in U.S. dollars unless otherwise indicated

BROOKFIELD, News, May 26, 2020 (GLOBE NEWSWIRE) — Brookfield Renewable Partners L.P. (TSX: BEP.UN; NYSE: BEP) (“Brookfield Renewable” or “BEP”) and Brookfield Asset Management Inc. (“BAM”) today announced a secondary offering of 10,236,000 limited partnership units of Brookfield Renewable (“LP Units”) by certain affiliates of BAM (the “Selling Securityholders”) on a bought deal basis to a syndicate of underwriters led by Scotiabank, TD Securities Inc. and CIBC Capital Markets (collectively, the “Underwriters”) for distribution to the public. The Selling Securityholders have agreed to sell the LP Units at a price of $48.85 per LP Unit, for gross proceeds of $500,028,600. Brookfield Renewable is not selling any LP Units in the offering and will not receive any of the proceeds from the offering of LP Units by the Selling Securityholders.

Certain of the Selling Securityholders have also granted the Underwriters an over-allotment option to purchase up to an additional 15% of the LP Units to be sold pursuant to the offering at the offering price (the “Over-Allotment Option”). The Over-Allotment Option is exercisable for a period of 30 days from the date of the final prospectus supplement relating to the Offering. If the Over-Allotment Option is exercised in full, the gross proceeds of the offering will increase to $575,032,890.

BAM currently owns approximately 61% of Brookfield Renewable’s issued and outstanding LP Units on a fully-exchanged basis. Upon the closing of the offering, it is anticipated that BAM will own approximately 57% of Brookfield Renewable’s issued and outstanding LP Units on a fully-exchanged basis (or 57% if the Over-Allotment Option is exercised in full).

Closing of the Offering is subject to a number of closing conditions and is expected to occur on or about June 3, 2020.

This offering is only made by prospectus. Brookfield Renewable has previously filed with the securities commission in each of the provinces and territories of Canada a shelf prospectus and a corresponding registration statement on Form F-3 (including a prospectus) with the United States Securities and Exchange Commission (the “SEC”), which has become effective under the Securities Act of 1933, as amended. A preliminary prospectus supplement describing the offering will be filed with the SEC and final prospectus supplements describing the offering will be filed with the SEC and the Canadian securities commissions on or before May 27, 2020. The prospectuses contain, and the related supplements will contain, important detailed information about the securities being offered. Before investing, you should read the prospectuses and other documents filed by Brookfield Renewable with the SEC and the Canadian securities commissions for information about Brookfield Renewable and this offering. Copies of the prospectuses and related prospectus supplements, when available, may be obtained from: Scotia Capital Inc., Attention: Equity Capital Markets, Scotia Plaza, 62nd Floor, 40 King Street West, Toronto, Ontario M5H 3Y2, or by telephone at 1-416-863-7704 or by email at equityprospectus@scotiabank.com and in the United States from Scotia Capital (USA) Inc., Attention: Equity Capital Markets, 250 Vesey Street, 24th Floor, New York, New York, 10281, or by telephone at 1-212-225-6853 or by email at equityprospectus@scotiabank.com. You may also obtain these documents free of charge by visiting the SEC’s website at www.sec.gov or SEDAR at www.sedar.com.

This press release does not provide full disclosure of all material facts relating to the securities offered. Investors should read the prospectuses, any amendments and any applicable shelf prospectus supplements for disclosure of those facts, especially risk factors relating to the securities offered, before making an investment decision.

This news release does not constitute an offer to sell securities, nor is it a solicitation of an offer to buy securities, in any jurisdiction. Any sales will be made through registered securities dealers in jurisdictions where the offering has been qualified for distribution.

Brookfield Renewable Partners

Brookfield Renewable Partners operates one of the world’s largest publicly traded, pure-play renewable power platforms. Our portfolio consists of hydroelectric, wind, solar and storage facilities in North America, South America, Europe and Asia, and totals over 19,000 megawatts of installed capacity and a 13,000 megawatt development pipeline. Brookfield Renewable is listed on the New York and Toronto stock exchanges. Further information is available at https://bep.brookfield.com. Important information may be disseminated exclusively via the website; investors should consult the site to access this information.

Brookfield Renewable is the flagship listed renewable power company of BAM, a leading global alternative asset manager with over $515 billion of assets under management.