HomeServe Plans $1.8 Billion Securitization for Brookfield Dividend

HomeServe is in early discussions with lenders to execute a $1.8 billion whole-business securitization led by Jefferies Financial Group Inc. The transaction will offer bonds backed by the company's assets to refinance existing debt and facilitate a $600 million dividend payout to its owner, Brookfield Asset Management Ltd., which acquired the emergency household-repairs provider in 2023.

The deal is expected to conclude in September and will likely be structured in multiple tranches. These include a five-year publicly tradeable segment and two private tranches with seven- and 10-year terms. Pricing for these tranches is currently being negotiated in ranges over the benchmark Treasury rate.