Report: BlackRock-HPS Talks Accelerate on Possible $12B Deal

BlackRock is reportedly in advanced talks to acquire HPS Investment Partners as it seeks to expand its presence in the private credit space, Bloomberg reported October 31, citing people with knowledge of the discussions.

The news follows reports earlier in the month that BlackRock and CVC Capital Partners were among those interested in acquiring the private credit firm, which has also been considering an IPO. According to Bloomberg’s latest report, BlackRock is now the lone suitor, and HPS would seek a premium on its approximately $11B post-IPO valuation, meaning an acquisition could cost as much as $12B.

Both sides hope to reach an agreement by the end of the year, Bloomberg reported, though HPS could still ultimately opt for an IPO or sale of a minority stake should the talks fail.

Source: https://finance.yahoo.com/news/blackrock-talks-buy-private-credit-233135507.html