On May 7, 2020, Brookfield Asset Management Inc. announced the launch of a Retail Revitalization Program to bring much-needed capital and assist with the recapitalization of retail businesses with operations in the major markets in which Brookfield operates globally.
The Program, which will be funded by Brookfield and its institutional partners, will focus on non-control investments in retail businesses to assist with their capital needs during this period of dislocation. Brookfield is targeting $5 billion to be put toward this Program.
This Program will be led by Ron Bloom, Managing Partner and Vice Chairman of Brookfield’s Private Equity Group, who was a principal architect of the restructuring and rejuvenation of the automobile industry on behalf of the U.S. government during the 2008 financial crisis.
“This initiative is being designed to assist medium sized enterprises in getting back on their feet. We believe this is a critical component to getting the economy moving again, and we would like to partner with companies and entrepreneurs that can draw on our capital and expertise to stabilize and grow their business,” stated Bloom.
In addition to capital, Brookfield intends to make available its resources and expertise as one of the largest global investors in both real estate and private equity, with a focus on supporting long-term business performance. “We look forward to contributing capital and expertise to support the retail sector through this time and position businesses for long-term success,” added Bloom.
The Retail Revitalization Program will focus on retail businesses that have $250 million or greater in normalized revenues and have been operating for at least two years.
Brookfield Asset Management Inc. is a global alternative asset manager with over US$515 billion of assets under management across real estate, infrastructure, renewable power, private equity and credit. Brookfield owns and operates long-life assets and businesses, many of which form the backbone of the global economy.
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