- Brookfield Asset Management (TSX:BAM) is joining forces with CPP Investments to launch the Maple Fund, an up to C$50B vehicle to invest in large-scale industrial and infrastructure projects in Canada.
- The companies will focus on projects with a total value of at least C$5 billion.
- Brookfield Asset Management stock has given back 18.91 per cent year-over-year, while adding 74.03 per cent since 2021.
Brookfield Asset Management (TSX:BAM) is joining forces with the Canada Pension Plan Investment Board (CPP Investments) to launch the Maple Fund, an up to C$50B vehicle to invest in large-scale industrial and infrastructure projects in Canada.
The collaboration combines Brookfield’s operational expertise with CPP Investments’ long-term approach to capital allocation, with eyes on maximizing deal flow and making a more efficient impact on the domestic economy.
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Each organization will contribute up to C$25 billion in equity capital over an initial five-year term, limiting their investable universe to projects with a total value of C$5 billion or higher.
The agreement framework also makes room for third parties to join Brookfield and CPP Investments on individual investments, effectively removing the cap on the Maple Fund’s potential reach.
The announcement coincides with Prime Minister Mark Carney’s Canada Investment Summit, a gathering of investors and business leaders, representing more than C$100 trillion in assets under management, to accelerate some of Canada’s most important industrial projects.
Leadership commentary
“Canada is entering a period of new ambition to advance major projects and build for the future, creating compelling investment opportunities across the country. CPP Investments has the capital, long-term investment horizon and expertise to pursue these opportunities, and the Maple Fund brings together our strengths with Brookfield’s strong origination and development capabilities to help move ambitious projects from opportunity to investment,” John Graham, President and Chief Executive Officer (CEO) of CPP Investments, said in Tuesday’s news release. “The Maple Fund positions us well to meet this moment and move with speed on opportunities of unusual scale and complexity when they offer compelling value for the CPP Fund.”
“The Maple Fund brings together two companies with a shared commitment to investing in the country’s future,” added Connor Teskey, CEO of Brookfield Asset Management. “By combining CPP Investments’ scale and long-term capital with Brookfield’s development and operating capabilities, we believe the Maple Fund can help drive a generational investment program to invest in critical infrastructure, industries and businesses that will support the growth of globally competitive Canadian businesses.”
About Brookfield Asset Management
Brookfield is a global alternative asset manager with more than $1 trillion under its purveiw spanning credit, energy, private equity, infrastructure and real estate.
Shares of Brookfield Asset Management (TSX:BAM) are down by 0.45 per cent trading at C$64.60 as of 10:13 am ET. The stock has given back 18.91 per cent year-over-year, while adding 74.03 per cent since 2021.
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