Hello. 🙂
The code isn't complicated, it's just the use of spaces that's confusing. Perhaps this is easier to understand:
function Authentication(&$db)
{
$this->_DB = &$db;
}
The function accepts the variable $db (which is passed by reference), and sets the "_DB" field for this object to be a reference to $db.
If $db is changed outside the function, $this->_DB gets changed with it.