Company: BBU
Filing Date: 2025-04-10
Form Type: 20-F
Source: 0001628280-25-017216
Chunk: 203

Company: Brookfield Business Partners L.P.
Filing Date: 2025-04-10
Form: 20-F
Item: Item 7
Chunk 203
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 the special distribution. In addition, the following agreements and arrangements exist between us and BBUC.

Credit Support

The partnership has bilateral credit facilities in the amount of $2,350 million backed by global banks. The credit facilities are available in Euros, British pounds, Australian, U. S. and Canadian dollars. Advances under the credit facilities bear interest at the specified SOFR, SONIA, EURIBOR, CORRA or BBSY rate plus 2.50%, or the specified base rate or prime rate plus 1.50%. The bilateral credit facilities require the partnership to maintain a minimum tangible net worth and deconsolidated debt to capitalization ratio at the corporate level. The maturity date of the facilities is June 29, 2029. As at December 31, 2024, the amount drawn by the partnership on the bilateral credit facilities, net of deferred financing costs, was $2,142 million.

  128      Brookfield Business Partners  

In addition, the partnership has a revolving acquisition credit facility with Brookfield that permits borrowings of up to $1 billion. The revolving acquisition credit facility is available in U. S. or Canadian dollars, and advances are made by way of SOFR, CORRA base rate or prime rate loans. The credit facility bears interest at the specified SOFR or CORRA plus 3.45% base rate or prime rate plus 2.45%, which margins are subject to adjustment from time to time. The revolving acquisition credit facility also requires our partnership to maintain a minimum deconsolidated net worth and contains restrictions on the ability of the borrowers and the guarantors to, among other things, incur liens, engage in certain mergers and consolidations or enter into speculative hedging arrangements. The maturity date of the revolving acquisition credit facility is April 27, 2029, which date will automatically extend for a one-year period on April 27 of each year unless Brookfield provides written notice of its intention not to further extend the then prevailing maturity date. The total available amount on the credit facility will decrease to $500 million on April 27, 2025. As at December 31, 2024, the credit facility remained undrawn.

A wholly-owned subsidiary of BBUC has agreed to fully and unconditionally guarantee the obligations of our partnership under the $2,350 million bilateral credit facilities with global banks and our partnership’s revolving acquisition credit facility with Brookfield.

Subscription Agreement

BBUC will enter into subscription agreements with our partnership from time