BlackRock agreed to acquire Global Infrastructure Partners (GIP), an infrastructure investment fund, for about $12.5 billion, thereby advancing to the top long-term investors in energy, transportation and digital infrastructure, according to Golden Finance. BlackRock will reportedly pay $3 billion in cash and about 12 million shares, worth about $9.5 billion at Thursday's closing level. The transaction is expected to close in the third quarter.
Adebayo Ogunlesi, Chairman and Chief Executive Officer of GIP, will join BlackRock's Board of Directors and Global Executive Committee. The acquisition of GIP, which has $100 billion in AUM, is BlackRock's largest deal in more than a decade and marks a key step for BlackRock CEO Fink to become a key player in the fast-growing private equity and alternative asset markets.