In a deal worth more than $12 billion, BlackRock is purchasing Global Infrastructure Partners, an independent infrastructure fund manager, in exchange for stock.
About 12 million BlackRock shares and $3 billion in cash are included in the Friday announcement deal. A portion of the entire consideration, all in stock, of about thirty percent will be postponed and should be issued in five years or so.
Founded in 2006, GIP focuses on the energy, transportation, water and waste, and digital sectors while managing over $100 billion in client assets spanning infrastructure, finance, and equity.
In a prepared statement, BlackRock Chairman and CEO Larry Fink stated, “As several structural shifts reshape the global economy, infrastructure is one of the most exciting long-term investment opportunities.” We predict that governments will continue to give priority to energy independence, greater domestic industrial capacity, onshoring or nearshoring of important sectors, and self-sufficiency and security, which will lead to an acceleration of both physical and digital infrastructure construction.
The third quarter is when the deal is anticipated to close.
U.S. regulators approved 11 bitcoin exchange-traded funds this week, including one offered by BlackRock under the ticker IBIT.
On Friday, just before the opening bell, shares of New York City-based BlackRock Inc. decreased somewhat.
