Jan 13, 2024

I recently heard that BlackRock, the world’s largest asset manager, is set to acquire Global Infrastructure Partners, a private equity firm with around $100 billion in assets under management. This acquisition, valued at $3 billion in cash and around 12 million shares of common stock, marks the richest deal ever for a private equity firm. GIP’s management team, led by Bayo Ogunlesi, will oversee BlackRock’s infrastructure platform, which already manages approximately $50 billion across renewables and infrastructure debt. The deal is expected to close in the third quarter, pending regulatory approvals, and Ogunlesi will step down as lead independent director with Goldman Sachs.

In other news, Chris Ailman, the chief investment officer for the California Public Teachers’ Retirement System (CalSTRS), is retiring after a 24-year tenure. CalSTRS, which manages around $305 billion, including a 14.2% allocation to private equities, will soon begin a search for Ailman’s replacement. His retirement means that both of America’s largest public pensions, CalPERS and CalSTRS, are currently seeking new CIOs. Ailman will step down on June 30 but will continue to serve as a senior adviser through the end of the year. This news follows the departure of CalPERS CIO Nicole Mancuso last September, after just two years in the role.

Stay Well!