Westinghouse Being Acquired By Canadian Company For $4.6 Billion

CRANBERRY TOWNSHIP, PA - Bankrupt Westinghouse Electric Co. is being acquired by Canadian-based Brookfield Business Partners for approximately $4.6 billion, the companies announced Thursday.

Brookfield’s acquisition of Westinghouse is expected to close in the third quarter, subject to U.S. Bankruptcy Court and other regulatory approvals. Westinghouse will continue to operate under its current management until the deal closes.

“Brookfield’s acquisition of Westinghouse reaffirms our position as the leader of the global nuclear industry,” Westinghouse president and CEO José Emeterio Gutiérrez said in a statement. “Our transformation and strategic restructuring process is creating a stronger, stable, and more streamlined global Westinghouse business, for the benefit of our customers and employees.”

Westinghouse's parent company, the Japan-based Toshiba, announced last April that the major player in global nuclear projects filed for Chapter 11 bankruptcy protection. Toshiba said the company had suffered nearly $10 billion in losses related to nuclear reactor construction initiatives.

That debt didn’t scare off Brookfield Business Partners, which believes Westinghouse has a bright future once it emerges from bankruptcy. The company believes that could occur as early as March.

“Westinghouse is a high-quality business that has established itself as a leader in its field, with a long-term customer base and a reputation for innovation,” Brookfield CEO Cyrus Madon said.

Brookfield is a subsidiary of Brookfield Asset Management. According to the company’s website, it invests in high-quality assets in real estate, infrastructure, renewable power and private energy. The firm employees more than 70,000 people globally in 30 countries.

The future of Westinghouse’s southwestern Pennsylvania employees and its Cranberry headquarters is not immediately clear.

Westinghouse is Cranberry's largest employer, with about 2,200 of the company's 4,500 western Pennsylvania workers stationed at its Cranberry Woods complex. According to township statistics, more than 300 Westinghouse workers live in Cranberry, while about another 300 live in other Butler County municipalities.

Photo: Associated Press.