Form 4: Director Girsky Reports Exchange of Brookfield Business Units

Director Stephen J. Girsky reported the exchange of Brookfield Business Partners L.P. units and Brookfield Business Holdings Corporation shares for new Class A subordinated voting shares as part of a corporate arrangement.

Summary

• Stephen J. Girsky, a Director of Brookfield Business Corp, reported changes in beneficial ownership via a Form 4 filing.
• On March 27, 2026, a court-approved plan of arrangement under section 288 of the Business Corporations Act (British Columbia) was completed.
• This arrangement involved Brookfield Business Partners L.P. ("BBU"), Brookfield Business Holdings Corporation ("BBHC"), and Brookfield Business Corporation (the "Corporation").
• As a result of the arrangement, BBU and BBHC became subsidiaries of the Corporation.
• Holders of BBU Non-Voting Limited Partnership Units and BBHC Class A Exchangeable Subordinate Voting Shares exchanged their holdings for Class A subordinated voting shares of the Corporation on a one-for-one basis.
• Girsky disposed of 13,400 BBU Non-Voting Limited Partnership Units and 6,700 BBHC Class A Exchangeable Subordinate Voting Shares as part of this exchange.
• Following these transactions, Girsky's beneficial ownership of the reported BBU Units and BBHC Exchangeable Shares is 0.

Sentiment

Score: 6

Explanation: StockSavvy.ai views this as a neutral event, primarily a procedural reporting of a corporate restructuring. The completion of the arrangement itself could be seen as a minor positive for corporate clarity.

Positives

• Completion of a court-approved plan of arrangement, streamlining the corporate structure by making BBU and BBHC subsidiaries of the new Corporation.

Negatives

• NA

Risks

• NA

Future Outlook

NA

Industry Context

StockSavvy.ai notes that corporate arrangements and reorganizations are common strategies for large, diversified holding companies like Brookfield to optimize their structure, enhance operational efficiency, or simplify investor access to specific business segments. This particular arrangement consolidates BBU and BBHC under a new corporate entity.

Comparison to Industry Standards

• The one-for-one exchange ratio for BBU Units and BBHC Exchangeable Shares into Class A subordinated voting shares of the new Corporation is a standard practice in corporate reorganizations, aiming to maintain equivalent shareholder value during structural changes.

Corporate Governance

Stakeholder Impact

• Shareholders: Holders of BBU Units and BBHC Exchangeable Shares received Class A subordinated voting shares of the new Corporation on a one-for-one basis, maintaining their economic interest in the consolidated entity.

Key Dates

Recommendation

This Form 4 filing reports a director's participation in a pre-announced corporate restructuring, which is a procedural event rather than an indicator of new operational performance or strategic shifts. The market would have already absorbed the implications of the arrangement when it was initially announced. Therefore, this specific filing does not provide new information to warrant a change in investment recommendation, suggesting a "hold" position is appropriate for existing investors.

Keywords

Brookfield Business Corp, BBU, Form 4, Beneficial Ownership, Corporate Arrangement, Share Exchange, Director Transaction, Stephen J. Girsky, Subsidiary, Restructuring