Blackstone is hoping to hit the European jackpot as it aims to expand its private wealth business into at least two new European markets in 2025. Over the last four years the US investment behemoth has seen its private wealth AUM increase from just over $100 billion in 2020 to approximately $250 billion with Italy and France proving to be significant drivers of that growth.
It seems take-privates are building up speed and taking off as buyout firms look for attractive valuation opportunities. Corporate management teams are getting that déjà vu feeling as GPs buy them back after they or their peers had previously listed them.
Private credit managers will doubtless be extending a debt of gratitude to investors for their continued commitment to investing in the asset class. According to Moody’s research, fundraising is going from strength to strength, with inflows up 72% over the last 12 months. AUM has also risen 8% in the first six months of 2024, putting private credit at the head of the pack and giving plenty of reason for fundraising teams to celebrate. As more investors get behind the 8-ball, private credit is proving to be the most resilient alternative asset class in the current macro environment. Asset managers are getting on board to meet this demand, including BNP Paribas who launched an evergreen ELTIF this week. Right now, private credit is ‘going with the flow’.
Ares Management is hoping to make a big splash in the NFL with news that the global private equity firm is reportedly looking to acquire a 10% minority stake in the Miami Dolphins. The deal also includes billionaire Joe Tsai, co-owner of the NBA’s Brooklyn Nets and the WNBA’s New York Liberty, who would receive a 3% ownership stake. This could be a huge catch as the deal also includes the Hard Rock Stadium and the Miami F1 Grand Prix race. This development follows recent news that the NFL had agreed to allow outside investors to take ownership stakes in what is one of the world’s most highly lucrative sports leagues. More NFL teams will doubtless be looking for their own liquidity events in the coming months, as private equity firms go on the offense and make a bid for their end zone celebration.
CalSTRS is getting ready to Go Go Gadget its co-investment arms after the pension’s investment committee agreed to remove the provision for third-party approval on co-investment deals under $250 million. The decision comes as CalSTRS seeks to incorporate more co-investments and direct investments in its private equity portfolio. This will help investment staff move into higher gear and act quickly to close on deals without needing to wait for external valuation approvals. The decision is likely to signal Lift Off for the US pension plan, which has already constructed a platform in excess of nearly 100 deals. With more speed and agility at their disposal, the race is now on to seek out the best GPs to partner with.