Tero Vesalainen Co-authored with Hidden Opportunities Background on Why We are Discussing this topic Enstar Group Limited (ESGR), a leader in runoff insurance, announced last month that global investment firm Sixth Street has offered to acquire them for a total equity value of $5.1 billion, or $338.00 in cash per share. The transaction is expected to close in mid-2025 subject to approval by Enstar's shareholders, regulatory approvals, and other customary closing conditions. According to the terms of the mer ...

Group 1: NFL Revenue and Market Position - The NFL generated $18 billion in revenue in 2022, making it the largest sports league globally [1][2] - Major League Baseball (MLB) follows with $11.3 billion in 2023 revenues, while the English Premier League ranks fourth with $6.5 billion in 2021/2022 revenues [1][2] Group 2: Private Equity in Sports - Private equity ownership is becoming a reality in the NFL, with potential policy changes allowing the sale of up to 10% of a team to select pre-approved firms [3][20] - The private equity industry has grown significantly, from $280 million in 2000 to $3.5 trillion in 2023 [4][20] Group 3: Blackstone Overview - Blackstone is the largest private equity firm with a market cap exceeding $170 billion and has deployed $34 billion in capital in Q2 2023, the highest in two years [5][6] - The firm manages $1.1 trillion in assets and expects continued growth, with analysts predicting 15% EPS growth in 2024 [6][10] Group 4: KKR Overview - KKR, with a market cap of nearly $110 billion, has seen its assets under management grow to over $550 million in 2023, averaging 18% growth per year since 2010 [12][13] - The company expects to raise over $300 billion in new capital through 2026, potentially increasing net income by 30% annually [16][18] Group 5: Investment Strategies and Market Influence - Both Blackstone and KKR are leveraging their market dominance to fuel growth, with Blackstone becoming the largest financial investor in AI infrastructure [9][20] - KKR's recent fundraising efforts have been impressive, raising $32 billion in Q2 2024 alone, benefiting from strong growth in various sectors [17][20]

Adam Gault In this article, we discuss the latest quarterly results from the Business Development Company (“BDC”) Blackstone Secured Lending Fund (NYSE:BXSL). The company delivered a 4.2% total NAV return, one of the best Q2 results in our coverage. BXSL is a large BDC with a focus on upper middle-market borrowers. It has overweight exposure to software and healthcare companies, something we see across most other BDCs. BXSL is trading at an 11% premium to book value (about 8% rich to the average in our ...

maselkoo99 Self-made billionaires, Jon Gray and Steve Schwartzman, who lead the private equity powerhouse Blackstone (BX), have been pouring billions into REITs (VNQ) this year. They first acquired Tricon Residential (TCN) in a $3 billion transaction in January and paid a ~30% premium for it: YCHARTS Then they doubled down and acquired Apartment Income REIT (AIRC) in a huge $10 billion transaction in April and paid a ~25% premium this time: YCHARTS And now, they are rumored to be in talks to acquire ...

jittawit.21/iStock via Getty Images In recent months, we have witnessed accelerated dealmaking and capital deployment at Blackstone (NYSE:BX), which we believe will provide a material boost to fee-related earnings in the coming quarters. Some of Blackstone's major recent transactions include a US$10bn deal for Apartment Income REIT and a US$3.5bn deal for Tricon Residential. According to a recent media interview with Nikkei Asia, Blackstone President Jonathan Gray also shared that the company is target ...

Core Insights - Blackstone Inc. (BX) is well-positioned for growth due to increasing assets under management (AUM), a strong revenue mix, and improving fee income, despite concerns over rising expenses and fund outflows in a challenging macroeconomic environment [1][2]. Group 1: Financial Performance - Blackstone's segment revenues experienced a compound annual growth rate (CAGR) of 5.3% from 2017 to 2023, driven by improved management, advisory fees, and total investment income [1]. - Fee-earning AUM and total AUM grew at CAGRs of 14.7% and 15.7%, respectively, over the last six years, with both metrics showing an upward trend in the first half of 2024 [2]. - As of June 30, 2024, Blackstone had $181 billion in dry powder, primarily from global private equity and real estate funds, and allocated approximately $58 billion of capital in the first half of 2024 [2]. Group 2: Expense Management - Total consolidated expenses showed a 5% CAGR from 2017 to 2023, primarily due to increased general, administrative, and other expenses, with this trend continuing into the first half of 2024 [3]. - Elevated expenses are expected to persist due to ongoing investments in the franchise and an increasing headcount in well-performing funds [3]. Group 3: Market Position and Challenges - Blackstone's operations heavily depend on the commitment of investors in its alternative investment funds, with past performance suffering during the 2008 financial crisis due to reduced new commitments [3]. - The company successfully navigated the pandemic without funding issues, but any macroeconomic shifts could lead to a reversal of this trend, as evidenced by significant fund outflows last year [4].

Henrik Sorensen Blackstone Secured Lending (NYSE:BXSL) easily managed to cover its second quarter dividend pay-out with net investment income, and the business development company maintained high credit quality in its portfolio in 2Q24 as well. With a non-accrual ratio, based on fair value, of 0.3%, Blackstone Secured Lending has one of the most attractive credit profiles that I have seen in the business development company sector. Investors have to pay a premium of 10% for the BDC’s net asset value, bu ...

ST. LOUIS and NEW YORK, Aug. 13, 2024 /PRNewswire/ -- Emerson (NYSE: EMR) announced today that it has completed the sale of its remaining interest in the Copeland joint venture, the 40% common equity ownership stake, to private equity funds managed by Blackstone ("Blackstone").As a standalone company focused on serving the global HVAC and refrigeration market, Copeland's product portfolio includes market-leading compressors, controls, thermostats, valves, software and monitoring solutions for residential, c ...

vaeenmaIntroduction With anticipation surrounding rate cuts coming soon, some BDCs have started to experience a pullback in their share price. The sector has enjoyed some nice capital appreciation over the past two years with many trading at high premiums above their NAVs. For me personally, I haven't added to any of my BDC holdings for over a year, but with Blackstone Secured Lending's (NYSE:BXSL) price below $30, I think the stock offers a decent entry point here. In this article, I discuss the compan ...

Core Viewpoint - Blackstone Secured Lending (BXSL) is positioned as a strong investment option for income investors, offering a high dividend yield and solid total returns primarily through current income rather than capital gains [2][6]. Company Overview - BXSL is a business development company managed by Blackstone Corp., which oversees over $1 trillion in assets across various sectors [3]. - The company focuses on safer first lien debt, with 98.6% of its portfolio in this category, and maintains a low average loan-to-value (LTV) ratio of 47% [3][4]. Financial Performance - BXSL has demonstrated a non-accrual rate of just 0.3% and an annualized net investment income (NII) return on equity of 13.2% for Q2 2024 [4]. - The company's net asset value (NAV) per share has increased for seven consecutive quarters, reaching $27.19, with a year-over-year growth of 3.3% [4]. - NII per share rose by $0.02 sequentially to $0.89, resulting in a 116% dividend coverage ratio based on the current quarterly dividend of $0.77, which is a 10% increase from the previous year [4]. Portfolio Composition - BXSL's portfolio is well-diversified across 231 companies, with no single investment exceeding 3% of the total portfolio [3]. - The top sectors include software, healthcare, professional services, commercial supplies, and insurance, collectively representing half of the portfolio [3]. Market Environment - BXSL benefits from the current high-interest rate environment, with 99% of its loan investments being floating rate [4][6]. - The company is positioned to deliver strong total returns, with a current dividend yield of 10.3% that is well-supported by cash flow [6]. Valuation - BXSL is currently valued at $29.95, with a price-to-NAV ratio of 1.10x, indicating a 10% premium to book value [5].