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SUNDAY, NOVEMBER 8, 2009
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Blackstone IPO Fetches $4.13B

Private equity giant enjoys largest US debut in 5 years; Schwarzman enjoys largest share

Share

(Newser) – The Blackstone Group went public today, selling 133.3 million shares at $31 and raking in $4.13 billion, the largest American IPO since 2002. The keenly anticipated issue values the private equity firm, founded by Stephen Schwarzman 27 years ago with $400,000, at $33.5 billion; the price bodes well for other buyout specialists. KKR and Carlyle are also considering going public, Bloomberg reports.

A proposed tax-law change appeared not to dampen interest in the company, which reported 1Q profits of $1.13 billion, 15% less than it made in all of 2006. The share price was at the top of the range Blackstone had estimated in SEC filings. Trading begins on the NYSE tomorrow under the symbol "BX."

Stephen Schwarzman attends The 39th Annual Museum of Modern Art's Party in the Garden honoring Martin Scorsese, held at the Museum of Modern Art, in this May 15, 2007 file photo in New York. Blackstone Group LP, the private-equity powerhouse that controls corporate names like Universal Studios Orlando and Madame...
Stephen Schwarzman attends The 39th Annual Museum of Modern Art's Party in the Garden honoring Martin Scorsese, held at the Museum of Modern Art, in this May 15, 2007 file photo in New York. Blackstone...   (Associated Press)
In this photo released by The Blackstone Group, Stephen Schwarzman, the chief executive of The Blackstone Group is shown. Schwarzman, will pocket $449.2 million and hold about 24 percent of the company after it goes public, the private equity firm said in a regulatory filing Monday, June 11, 2007....
In this photo released by The Blackstone Group, Stephen Schwarzman, the chief executive of The Blackstone Group is shown. Schwarzman, will pocket $449.2 million and hold about 24 percent of the company...   (Associated Press)
This image obtained 19 March, 2007 shows chairman and CEO of...
This image obtained 19 March, 2007 shows chairman and CEO of...   (Getty Images)
(FILES)This image obtained 19 March, 2007 shows chairman and...
(FILES)This image obtained 19 March, 2007 shows chairman and...   (Getty Images)
Investments Presents R.O.I. '07
Investments Presents R.O.I. '07   (Getty Images)
'
'   (Blackstone Group)
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Reuters offers a little context
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The Chinese government added to the overwhelming demand
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Tax-law uncertainty no obstacle to international investors
TheStreet


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