BlackRock buys Global Infrastructure Partners in $12 billion deal

By AP News

Jan 12, 2024

1 min read

BlackRock is buying independent infrastructure fund manager Global Infrastructure Partners in a cash-and-stock deal valued at more than $12 billion

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BlackRock Acquisition

BlackRock is buying independent infrastructure fund manager Global Infrastructure Partners in a cash-and-stock deal valued at more than $12 billion.

The deal announced Friday includes $3 billion in cash and approximately 12 million shares of BlackRock. About 30% of the total consideration, all in stock, will be deferred and is expected to be issued in approximately five years.

GIP, which was founded in 2006, manages more than $100 billion in client assets across infrastructure equity and debt, with a focus on energy, transport, water and waste, and digital sectors.

“Infrastructure is one of the most exciting long-term investment opportunities, as a number of structural shifts re-shape the global economy," said BlackRock Chairman and CEO Larry Fink in a prepared statement. "We believe the expansion of both physical and digital infrastructure will continue to accelerate, as governments prioritize self-sufficiency and security through increased domestic industrial capacity, energy independence, and onshoring or near-shoring of critical sectors.

The deal is expected to close in the third quarter.

U.S. regulators approved 11 bitcoin exchange traded funds this week, including one offered by BlackRock under the ticker IBIT.

Shares of BlackRock Inc., based in New York City, fell slightly before the opening bell Friday.

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