Excerpts from Brookfield Corp's 3rd Quarter Letter to the Shareholders
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Nuclear Power is Back Because the World Needs It
We have owned Westinghouse Electric Company since before it was fashionable to be in the nuclear business. With countries in desperate need of baseload power capacity, the prospects today are extremely positive.
We recently announced (actually, the President of the United States announced) that the U.S. government will buy from Westinghouse $80 billion of nuclear reactors to be constructed in the U.S. These reactors, built using Westinghouse technology, will help reinvigorate the domestic nuclear power industry and rebuild critical supply chains. The initiative represents the equivalent spend for eight large-scale reactors, enough to power the state of Utah—and more importantly, deliver 24/7 clean energy.
We are also evaluating plans for Westinghouse and Brookfield to advance a 2,200-megawatt nuclear facility in South Carolina, which we (Brookfield and our clients) will fund completion of, and own the facility. The plant is approximately 40% built today, and we are assessing the work required to bring the facility online by 2030. Once operational, the power is expected to be sold under long-term contracts to the South Carolina grid and other buyers.
By way of background, Westinghouse is the leading global provider of highly technical aftermarket products and services to the nuclear power infrastructure market and government agencies around the world. It is a global leader with a large installed technology base, a large backlog of contracted revenue, leading technology, and a highly specialized workforce of 9,000 employees with over 2,500 highly experienced and trained nuclear engineers located around the world.
We acquired 100% of this business in 2018 for $4 billion enterprise value and initially invested $1 billion of equity. In 2023, we sold half of the company to Cameco, the uranium company (feedstock for nuclear plants) at an $8 billion enterprise value. At that point our private equity fund (which initially owned the investment), generated 6x their money and an IRR of 60% from distributions and sale proceeds. Our Transition Fund acquired the other 50% of the company at that time.
As part of this recently announced transaction, the U.S. government will have the opportunity to participate in 20% of the company’s earnings at a value over $17.5 billion, creating strong alignment of interest for Westinghouse’s continued growth and value creation. With new orders of approximately $80 billion for plants, and many more in discussions globally and in the U.S., the value of Westinghouse could be upwards of $50 billion or more, making this one of the most successful investments ever by a sponsor group.
More importantly, it looks like we are only getting started. The U.S. orders for nuclear plants will catalyze the scaling up of the nuclear supply chain in the U.S. and will mark an inflection point in the growth of the industry globally. These tailwinds will allow us to grow our core business, expand meaningfully in the U.S., complete our SMR small plant technology, and further expand the business internationally. A big thank you to President Trump, Commerce Secretary Lutnick, and Energy Secretary Wright for their vision and support.
Private Credit is Rapidly Becoming a New Normal
Fifteen years ago, the private credit market as we know it today barely existed. In the aftermath of the global financial crisis, a combination of regulatory, structural, and market forces reshaped how companies borrow and how investors lend. Banks, constrained by higher capital and liquidity requirements, shifted from being long-term holders of loans to facilitators—originating, syndicating, and distributing risk. This evolution is one of the more significant changes in modern finance.
At the same time, borrowing needs began to expand meaningfully with the growth in global economies. As banks sought greater balance sheet efficiency, private lenders stepped in to meet the growing need for long-term, relationship-based capital. The result is the creation of a large and steadily growing private market that complements the traditional banking system.
What began as a niche market has evolved into a $2 trillion industry, supported by robust demand from investors seeking stable, risk-adjusted returns. While the primary focus of private credit is direct lending—non-investment-grade corporate loans—private credit goes far beyond that, spanning both investment-grade and non-investment-grade opportunities across multiple asset classes and structures, increasingly mirroring the same lending categories that exist in traditional, liquid markets.
At Brookfield, private credit is a natural extension of our real asset franchise. We are able to leverage our position at the intersection of private credit and real assets to provide meaningful sourcing, disciplined underwriting, and execution advantages to maintain a value-oriented, selective approach to deployment. While large amounts of capital have been allocated to private credit in recent years, we remain focused on areas where capital is scarce and expertise creates value. With the perspective of an equity owner, we underwrite each transaction through the lens of our operating experience, evaluating underlying business plans with the same rigor we apply to our own plans.
Our credit business today represents nearly $350 billion of assets under management. A major catalyst behind our growth has been our partnership with Oaktree, formed in 2019, when we acquired a majority stake in the business with the goal of combining Brookfield’s scale, access to capital, and real-asset expertise with Oaktree’s deep credit experience and value-oriented investment culture. The partnership has exceeded expectations, fueling the expansion of our private credit platform, supporting our wealth and insurance businesses, and helping drive a 75% increase in Oaktree’s assets under management since our initial investment.
Last month we announced the next step in this partnership—an agreement to acquire the remaining 26% of Oaktree that we do not already own, for $3 billion. Complete ownership will fully align our teams and create one of the most comprehensive and integrated credit platforms in the world, anchored in real estate, infrastructure, and renewable energy lending, and complemented by Oaktree and our other partner managers.
Artificial Intelligence is Just Getting Started
Artificial intelligence applied to the “real economy” represents a significant opportunity for productivity and efficiency gains. While widespread adoption is years away, current advances in this field are beginning to bridge the gap between digital intelligence and the real world, enabling machines to perform complex tasks safely and reliably in the world where we live. This evolution is directly relevant to the sectors in which we invest and operate, where automation and efficiency can deliver meaningful long-term value.
Humanoid robotics is emerging as the most important technology within this broader area. By design, humanoids can adapt to environments built for people (that is why they are built to look like people) and perform a wide range of general tasks, making them well suited to address structural workforce challenges and enhance productivity across a broad set of industries. The potential impact of this shift may ultimately rival or exceed prior technological transitions such as mobile and cloud computing, unlocking value creation across the global economy.
Our involvement in physical AI builds on the same principles that have guided our success in other sectors. We seek to partner early with exceptional operators, bring to them the resources of our global platform, and help them scale efficiently within real operating environments. In September, we announced a partnership with Figure, a leading developer of autonomous humanoid robotics, committing $500 million of equity capital. Our collaboration combines Figure’s technical innovation with Brookfield’s operating expertise and portfolio of real assets, creating an opportunity to accelerate the advancement of the technology—and eventually, deployment that will enhance productivity across industries.
Physical AI and humanoid robotics represent a large and transformative opportunity that will require meaningful capital, operating expertise, and long-term commitment. By combining our scale, capabilities, and global reach with the innovation of leading partners, this should position our business at the forefront of one of the most significant technological advances of the coming decades.
Bruce Flatt
Chief Executive Officer
November 13, 2025
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