News Formal

BlackRock Buys HPS to Muscle into Private Credit Market

  • 📰 ftenergy
  • ⏱ Reading Time:
  • 21 sec. here
  • 7 min. at publisher
  • 📊 Quality Score:
  • News: 29%
  • Publisher: 63%

Business News

BLACKROCK,HPS Investment Partners,PRIVATE CREDIT

BlackRock is acquiring HPS Investment Partners for over $12 billion, seeking to compete with firms like Blackstone and Apollo in the rapidly growing private credit market. HPS specializes in high-risk, high-reward investments in private lending, often providing funding for leveraged buyouts. This deal signifies BlackRock's ambition to become a major player in this sector, previously dominated by traditional banks.

HPS Investment Partners could hardly be more different than its suitor, BlackRock. Whereas BlackRock, an $11.5tn powerhouse, is best known for investing clients’ funds across huge swaths of public markets, HPS has earned a windfall on targeted bets in the private lending sector.

They are the kind of deals that attracted BlackRock, which wants to turbocharge its own direct lending franchise — it manages roughly $90bn of private debt already. BlackRock paid what some analysts and investors in the space saw as a high price for the group, underscoring the importance the company saw in private markets. Goldman estimates the price, including future potential payouts, was worth roughly 34.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 47. in SG
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Singapore Singapore Latest News, Singapore Singapore Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

BlackRock agrees to buy investment firm HPS in $12bn dealDeal is latest move by chief Larry Fink to accelerate group’s expansion into alternative assets
Source: FT - 🏆 113. / 51 Read more »