Blackstone is an American alternative investment management company based in New York City. Blackstone's private equity business has been one of the largest investors in leveraged buyouts over the last three decades. The company was founded in 1985 by Peter G. Peterson and Stephen A. Schwarzman with US$400,000 in seed capital. As of May 2024, Blackstone has more than US$1 trillion in total assets under management, making it the largest alternative investment firm globally. Blackstone Energy Transition Partners enables leading energy companies to build enterprises that can deliver clean, reliable, and affordable energy to meet global needs. Blackstone has a long record of investing in energy transition and climate solutions, and it was recognised as the Energy Private Equity Firm of the Year in 2023. The company recently closed a record energy transition private credit fund at over $7 billion.
Characteristics | Values |
---|---|
Type of company | Alternative investment management company |
Location | New York City |
Total assets under management | Over $1 trillion |
Investment focus | Energy transition and climate change solutions |
Investment approach | Disciplined due diligence, friendly transactions, collaboration with management teams |
Investment opportunities | Meeting global carbon reduction goals, clean energy transmission projects |
Team expertise | Experienced investment professionals, long record of investing in energy transition |
Recent awards | Private Equity International's Energy Private Equity Firm of the Year 2023 |
What You'll Learn
Blackstone's history and current status
Blackstone Inc. is an American alternative investment management company based in New York City. It was founded in 1985 as a mergers and acquisitions firm by Peter G. Peterson and Stephen A. Schwarzman, who derived the name "Blackstone" from their surnames. The company has since expanded into private equity, real estate, credit, infrastructure, hedge funds, secondaries, growth equity, and insurance solutions.
Blackstone has been one of the largest investors in leveraged buyouts over the last three decades and has actively acquired commercial real estate globally. Notable acquisitions include EQ Office ($37.7 billion), Hilton Hotels Corporation ($26 billion), and Wyndham Worldwide. Blackstone has also been involved in several large club deals, including the buyout of SunGard in 2005, valued at $11.3 billion, and the acquisition of Travelport, the parent company of travel website Orbitz.com, in 2006.
As of 2024, Blackstone has over $1 trillion in total assets under management, making it the largest alternative investment firm globally. The company serves institutional and individual investors by building strong businesses that deliver lasting value. Its scale enables it to invest in dynamic sectors positioned for long-term growth, with a focus on friendly transactions and a commitment to building businesses that last.
Blackstone has a dedicated team that works directly with private wealth managers, family offices, and financial advisors to help their clients access alternative solutions. The company offers private wealth solutions, providing institutional-quality investment opportunities for individual investors.
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The benefits of investing in Blackstone
Blackstone is an American alternative investment management company based in New York City. As the world's largest alternative asset manager, with more than $1 trillion in assets under management (AUM), Blackstone has a lot to offer to potential investors. Here are some of the benefits of investing in Blackstone:
- Diversified Investment Portfolio: Blackstone invests across various industries, including established and growth-oriented businesses globally. They have a presence in private equity, real estate, credit, infrastructure, hedge funds, secondaries, growth equity, and insurance solutions. This diversification provides investors with exposure to different sectors and helps mitigate risks.
- Disciplined Investment Approach: Blackstone follows a disciplined due diligence process that measures risk while identifying catalysts for increased value. They engage in friendly transactions and work closely with talented management teams to achieve positive results. This approach helps ensure that investments are thoroughly vetted and have a higher likelihood of success.
- Transformative Impact: Blackstone strives to create value by investing in great businesses and providing more than just financial capital. They offer strategic insights, global relationships, and operational support to drive transformation and enhance the performance of the companies they invest in. This approach can lead to significant growth and improved outcomes for investors.
- Long-Term Focus: Blackstone has a long-term investment horizon, as evidenced by their staying power over more than 35 years. They focus on building businesses for the long term, helping them withstand market cycles and achieve sustainable success. This long-term perspective aligns with the interests of investors seeking lasting value.
- Scale and Access: Blackstone's scale and breadth provide significant advantages to investors. With approximately 12,400 real estate assets and 230+ portfolio companies, they have the ability to invest in dynamic sectors positioned for long-term growth. This scale also grants investors access to opportunities that may not be available elsewhere.
- Strong Track Record: Blackstone has a proven track record of successful investments and exits. They have been one of the largest investors in leveraged buyouts and have completed some of the largest transactions in recent years. Their portfolio companies include well-known names such as Bumble, Ancestry, Emerson Climate Technologies, and Hilton Worldwide, among others.
- Commitment to Sustainability: Blackstone is committed to building sustainable businesses and has a dedicated team focused on energy transition and climate solutions. They have successfully invested in companies enabling the energy transition, such as Transmission Developers Inc. (TDI) and Power Grid Components (PGC). This focus on sustainability not only creates value but also contributes to a more sustainable future.
- Private Wealth Solutions: Blackstone offers private wealth solutions, providing individual investors with access to private markets. Their flagship products, BREIT and BCRED, are designed with the needs of individual investors in mind, offering institutional-quality investments to a broader range of participants.
- Exceptional Talent: Blackstone attracts and retains exceptional talent, ensuring that your investments are managed by highly skilled professionals. Their team includes experienced investment professionals who can identify emerging trends and unlock value in the companies they partner with.
- Building Financial Security: Blackstone seeks to deliver outstanding performance for institutional and individual investors. They focus on stewarding capital with integrity and conviction, helping investors build financial security and achieve their financial goals.
In summary, investing in Blackstone offers a range of benefits, including a diversified portfolio, a disciplined investment approach, a long-term focus, and a strong track record of successful investments. Their scale, access to opportunities, and commitment to sustainability further enhance the attractiveness of investing with Blackstone. By partnering with Blackstone, investors can access exceptional talent, build financial security, and potentially achieve attractive returns.
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Blackstone's investment approach
Blackstone has a long record of investing in energy transition and climate solutions, accelerating growth and business transformation through flexible capital. They provide capital to help portfolio companies grow and improve performance, generating lasting value for investors.
Blackstone's scale, with ~12,400 real estate assets and 230+ portfolio companies, enables them to invest in dynamic sectors positioned for long-term growth. They have invested in various sectors, including telecommunications, healthcare, entertainment, and technology.
The company seeks to deliver outstanding performance for institutional and individual investors by stewarding their capital with integrity and conviction. Blackstone's investment strategy focuses on building strong businesses that deliver lasting value.
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The types of companies Blackstone invests in
Blackstone is a leading global investment firm that provides financial advisory services and manages investment funds for a diverse range of clients. The company has a strong presence in the energy sector, and its energy-focused private equity funds have been actively investing in the industry for decades.
When it comes to the types of companies Blackstone invests in through its energy-focused funds, there are several key areas of focus. Primarily, Blackstone seeks out investments in established, cash-generative businesses with strong management teams and stable operations. The firm typically targets mid-to-large-cap companies, often in the range of $500 million to $2 billion in value, across various energy industry sectors.
The first sector of focus is upstream oil and gas. Blackstone invests in exploration and production (E&P) companies, which are involved in the exploration, development, and production of crude oil and natural gas reserves. These companies often have assets in established basins with long-term production potential and a focus on efficient operations and cost management. Blackstone also invests in service companies that support E&P firms, including those providing drilling, completion, and production enhancement services.
Midstream and downstream energy infrastructure is another key area. This includes companies that own and operate pipelines, storage facilities, and processing plants for the transportation, distribution, and marketing of energy commodities. Blackstone typically targets businesses with stable, fee-based revenue models and long-term contracts, ensuring predictable cash flows.
In the energy transition and renewables space, Blackstone invests in companies that support the shift to a lower-carbon economy. This includes renewable power generation assets such as wind, solar, and hydropower, as well as energy storage solutions and smart grid technologies. The firm also considers investments in energy efficiency service providers and companies developing innovative clean energy technologies.
Finally, Blackstone has a track record of investing in energy-related industrial and manufacturing businesses. This includes companies that provide equipment, technologies, and services to the energy industry, such as oilfield services, drilling equipment manufacturers, and engineering firms specializing in energy infrastructure projects. Blackstone typically seeks out market leaders with a strong track record of innovation and operational excellence in their respective niches.
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How to get in touch with Blackstone
Blackstone is a private company and getting in touch with them will depend on your specific needs and requirements. Here are some ways to contact Blackstone:
- Switchboard: You can reach Blackstone's switchboard by calling +1 (212) 583-5000. This number is suitable for general inquiries or if you need to be directed to a specific department or individual.
- Email: For press inquiries, you can send an email to [press_inquiries](mailto:[email protected])blackstone.com. This is suitable for media requests or if you are a journalist seeking information.
- Website: Blackstone's website, www.blackstone.com, offers a wealth of information about the company, its businesses, and its contact details. You can find specific pages dedicated to different areas of their business, such as private equity, real estate, and energy transition partners. The website also provides an "Offices" page with office-specific contact information.
- Recent Press Releases: To stay up to date with Blackstone's recent announcements and developments, you can visit their press releases page. This page provides access to the latest news and insights from the company.
- Dedicated Team: Blackstone has a dedicated team that works directly with private wealth managers, family offices, and financial advisors. They help their clients access alternative solutions. You can connect with this team by calling +1 (212) 583-5200 or sending an email to [financial_professional_inquiries](mailto:[email protected])blackstone.com.
- Individual Investors: If you are an individual investor, Blackstone recommends that you contact your financial advisor to learn more about their investment opportunities. They do not provide direct contact information for individual investors on their website.
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Frequently asked questions
Blackstone Energy Transition Partners is a fund that provides capital to portfolio companies in the energy sector to help them grow and improve performance, and deliver clean, reliable, and affordable energy to meet global needs.
Blackstone Energy Transition Partners IV is expected to reach its target and cap of $6 billion by the summer of 2023. The Blackstone Green Private Credit Fund III (BGREEN III) closed at its hard cap of $7.1 billion, making it the largest energy transition private credit fund ever raised.
Financial advisors and individual investors can visit the dedicated Blackstone website to learn more about partnering with Blackstone and investing in the fund.