Blue Owl to Acquire Tech Infrastructure Fund Manager IPI for $1B

Alternative asset manager Blue Owl Capital has entered into a definitive agreement to acquire Chicago-based digital infrastructure fund manager IPI Partners from investment firms ICONIQ Capital and Iron Point Partners, according to an October 7 press release.

The purchase price of approximately $1B will be split between approximately 80% Blue Owl equity and 20% cash, in a deal that would integrate IPI’s workforce of more than 70 global team members and over 50 investment professionals into Blue Owl while IPI maintains oversight of its existing funds. IPI will be part of the firm’s real estate platform, led by Blue Owl Co-President Marc Zahr, with IPI Managing Partner heading up Blue Owl’s digital infrastructure strategy and reporting to Zahr.

Blue Owl said it will also partner with an affiliate of ICONIQ for services related to investment analysis and investor relations in a transaction where payments are expected to be made between 2026 to 2028. The deal will add approximately $10.5B to Blue Owl’s over $192B in current AUM and is expected to close in the fourth quarter of this year or the first quarter of 2025.

Deutsche Bank Securities, JP Morgan Securities, Morgan Stanley, Societe Generale, and TD Securities provided financial advice to Blue Owl, while Kirkland & Ellis LLP serves as legal counsel. For IPI, Gibson, Dunn & Crutcher LLP served as its legal counsel, while Berkshire Global Advisors acted as financial advisor to Iron Point.

View the press release here: https://www.blueowl.com/news/blue-owl-capital-acquire-ipi-partners-and-partner-iconiq-future-growth