Westinghouse to keep debt structure in place with new ownership

By Sara Rosenberg

New York, Oct. 12 – Westinghouse Electric Co. plans on keeping its existing debt structure in place in connection with its acquisition by Cameco Corp. and Brookfield Renewable Partners, according to a FWP filed with the Securities and Exchange Commission on Wednesday.

Brookfield Renewable, with its institutional partners, will own a 51% interest in Westinghouse and Cameco will own 49%.

The total enterprise value for Westinghouse is $7,875,000,000. With the debt remaining in place, it leaves an estimated $4.5 billion equity cost to the consortium, subject to closing adjustments. This equity cost will be about $2.3 billion to Brookfield and its institutional partners, and about $2.2 billion to Cameco.

Cameco currently has available liquidity and a committed financing facility for the purposes of supporting the transaction.

Goldman Sachs and CIBC World Markets Inc. provided the financing facility commitment.

However, Cameco will be pursuing a permanent financing mix of capital sources, including cash, debt and equity, designed to preserve the company’s balance sheet and ratings strength while maintaining its liquidity, prior to closing.

Closing is anticipated in the second half of 2023.

Westinghouse is a Cranberry Township, Pa.-based provider of infrastructure services to the nuclear power sector. Cameco is a Saskatoon, Saskatchewan-based provider of uranium fuel. Brookfield Renewable operates a publicly traded, pure-play renewable power platform.

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