Brookfield Asset Management (BAM) Reports Q4 FFO of $1.13, Announces 3-for-1 Stock Split

Brookfield Asset Management (NYSE: BAM) reported Q4 EPS of $1.13, versus $1.35 reported last year.

Three-for-Two Stock Split

The Board of Directors approved a three-for-two stock split of the company’s outstanding Class A Shares. The split will be implemented by way of a stock dividend whereby shareholders will receive one-half of a Brookfield Class A Share for each Class A and Class B Share held (i.e. one additional share for every two shares held). The stock dividend will be payable on April 1, 2020 to shareholders of record at the close of business on February 28, 2020. Fractional shares will be paid in cash based on the closing price of the Class A Shares on the Toronto Stock Exchange on the record date.

Brookfield is undertaking the stock split to ensure its shares remain accessible to individual shareholders and to improve the liquidity of the shares. Importantly, the stock split will not dilute shareholders’ equity. The company is ascribing no monetary value to the stock dividend payable to shareholders and therefore the stock dividend will not be taxable in Canada or the United States, although any cash received for fractional shares will be taxable.

Brookfield’s Class A Shares will trade on a “due bill” basis from the opening of business on Thursday, February 27, 2020 (one day before the record date) until Wednesday, April 1, 2020 (the payment date), inclusively. Class A Shares trading with due bills will carry the right to receive the additional shares to be issued in connection with the stock dividend. Accordingly, ex-dividend (post-split) trading in the Class A Shares will commence on the Toronto Stock Exchange and New York Stock Exchange at the opening of business on Thursday, April 2, 2020.

For earnings history and earnings-related data on Brookfield Asset Management (BAM) click here.

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