ACQUISITION OF BUSINESSES (Tables)

12 Months Ended

Dec. 31, 2019

Disclosure of detailed information about business combinations

The following summarizes the consideration transferred, assets acquired and liabilities assumed at the applicable acquisition dates for significant acquisitions:



(US$ MILLIONS)	Business services			Infrastructure services			Industrials			Total ⁽¹⁾
Cash	$	2,024		$	7		$	3,764		$	5,795
Non-cash consideration	15			1			—			16
Total consideration ⁽²⁾	$	2,039		$	8		$	3,764		$	5,811

(US$ MILLIONS)
Cash and cash equivalents	$	319		$	—		$	11		$	330
Accounts and other receivable, net	297			2			1,129			1,428
Inventory, net	41			—			1,775			1,816
Assets held for sale	6			—			—			6
Equity accounted investments	9			—			838			847
Property, plant and equipment	3,030			3			3,582			6,615
Intangible assets	535			—			6,420			6,955
Goodwill ⁽⁵⁾	1,572			12			1,894			3,478
Deferred income tax assets	136			—			181			317
Financial assets	4,735			—			27			4,762
Other assets	48			—			347			395
Acquisition gain	(4		)	—			—			(4		)
Accounts payable and other	(2,732		)	(1		)	(1,998		)	(4,731		)
Borrowings	(709		)	—			—			(709		)
Deferred income tax liabilities	(150		)	—			(967		)	(1,117		)
Net assets acquired before non-controlling interests	7,133			16			13,239			20,388
Non-controlling interests ^{(3) (4)}	(5,094		)	(8		)	(9,475		)	(14,577		)
Net assets acquired	$	2,039		$	8		$	3,764		$	5,811

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⁽¹⁾	The initial fair values of acquired assets, liabilities and goodwill for the acquisitions have been determined on a preliminary basis at the end of the reporting period. Specifically, within the industrials segment, the partnership is in ongoing negotiations which could result in a change in fair value estimates related to working capital and goodwill.


⁽²⁾	Excludes consideration attributable to non-controlling interests, which represents the interest of others in operating subsidiaries.


⁽³⁾	Non-controlling interests recognized on business combination were measured at fair value for business services, industrials and infrastructure services.


⁽⁴⁾	Non-controlling interests recognized on business combination were measured at the proportionate share of fair value of the assets acquired and liabilities assumed for mortgage insurance services in our business services segment.


⁽⁵⁾	Adjustments to purchase price allocations within our business services segment and industrials segment resulted in an increase to goodwill of $98 million and $159 million, respectively.

The following table provides details of the business combination achieved in stages on a gross basis:



(US$ MILLIONS)	December 31, 2018
Fair value of investment immediately before acquiring control	$	651
Less: carrying value of investment immediately before acquisition	447
Add: amounts recognized in OCI ⁽¹⁾	2
Remeasurement gain	$	206
Gain on extinguishment ⁽²⁾	44
Gain (loss) on acquisitions/dispositions, net	$	250
Total gain on acquisition attributable to non-controlling interests	$	135
Total gain on acquisition attributable to the partnership	$	115

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⁽¹⁾	Included in carrying value of the investment immediately before acquisition.


⁽²⁾	The partnership recognized a total gain on extinguishment of $44 million at the subsidiary level ($18 million on debt and $26 million on warrants).

The following summarizes the consideration transferred, assets acquired and liabilities assumed at the applicable acquisition dates:



(US$ MILLIONS)	Business services ⁽¹⁾			Infrastructure services ⁽²⁾			Industrials			Total
Cash	$	25		1,764			$	45		$	1,834
Non-cash consideration	—			275			—			275
Total consideration ⁽³⁾	$	25		$	2,039		$	45		$	2,109

(US$ MILLIONS)
Cash and cash equivalents	$	36		592			$	30		$	658
Accounts receivable and other, net	11			786			75			872
Inventory, net	2			626			58			686
Equity accounted investments	—			328			1			329
Property, plant and equipment	56			4,631			187			4,874
Intangible assets	28			2,544			231			2,803
Goodwill	36			721			180			937
Deferred income tax assets	—			11			27			38
Financial assets	—			410			2			412
Other assets	—			1,234			—			1,234
Accounts payable and other	(28		)	(3,290		)	(199		)	(3,517		)
Borrowings	(50		)	(3,352		)	(266		)	(3,668		)
Deferred income tax liabilities	(2		)	(82		)	(72		)	(156		)
Net assets acquired before non-controlling interests	89			5,159			254			5,502
Non-controlling interests ^{(4) (5)}	(64		)	(3,120		)	(209		)	(3,393		)
Net assets acquired	$	25		$	2,039		$	45		$	2,109

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⁽¹⁾	Adjustments to a purchase price allocation within our business services segment resulted in a $5 million increase to goodwill.

⁽²⁾

Adjustments to a purchase price allocation within our infrastructure services segment resulted in a decrease in accounts receivable and other of $50 million, a decrease in property, plant and equipment of $38 million, a decrease in intangible assets of $139 million, a decrease in goodwill of $39 million, an increase of financial assets of $93 million, an increase in other assets of $208 million, a decrease in accounts payable and other of $141 million, and a decrease in deferred income tax liabilities of $1 million.


⁽³⁾	Excludes consideration attributable to non-controlling interests, which represents the interest of others in operating subsidiaries.


⁽⁴⁾	Non-controlling interests recognized on business combination were measured at fair value for business services and infrastructure services.


⁽⁵⁾	Non-controlling interests recognized on business combination were measured at the proportionate share of fair value of the assets acquired and liabilities assumed for industrials.