BlackRock Buys HPS for $12B, Aiming to Lead Private Credit Market

Dec 3, 2024, 12:07 PM

BlackRock Inc. has announced an agreement to acquire HPS Investment Partners, a leading global credit investment manager, in an all-stock deal valued at approximately $12 billion. The acquisition aims to enhance BlackRock's private credit offerings, integrating HPS's $148 billion in client assets into BlackRock's portfolio. This move is part of BlackRock's strategy to expand its presence in the rapidly growing private credit market, which is expected to double in size. BlackRock CEO Larry Fink has stated that the combined entity will be among the top five in private credit, offering integrated solutions across public and private markets. The deal underscores BlackRock's ambition to capitalize on the private capital boom, using its stock as a valid acquisition currency.