Blackstone Completes Senior Notes Offering

Rhea-AI Summary

Blackstone (NYSE: BX) has successfully completed its previously announced senior notes offering of $750 million with a 5.000% interest rate, maturing in 2034. The notes were issued through Blackstone Reg Finance Co. L.L.C. and are fully guaranteed by Blackstone and its indirect subsidiaries, including various Blackstone Holdings partnerships.

The company plans to use the proceeds for general corporate purposes. The offering was made under an effective shelf registration statement filed with the SEC, with several major financial institutions serving as points of contact for the prospectus and related documentation.

Positive

• Successfully raised $750 million through senior notes offering
• Notes are fully guaranteed by Blackstone and its subsidiaries, indicating strong backing

Negative

• Addition of long-term debt with 5.000% interest rate increases financial obligations
• Potential impact on company's debt-to-equity ratio

Insights

Financial Analyst

The completion of Blackstone's $750 million senior notes offering at 5.000% due 2034 represents a strategic move to strengthen its capital structure. The pricing aligns with current market conditions and the 10-year maturity provides long-term financing stability. The full guarantee from Blackstone Inc. and its subsidiaries enhances the notes' creditworthiness. While the "general corporate purposes" designation offers flexibility in fund allocation, this debt issuance demonstrates Blackstone's continued access to debt markets and ability to secure institutional funding at competitive rates. The involvement of major underwriters like BofA Securities, Citigroup, Morgan Stanley, RBC Capital Markets and SMBC Nikko Securities indicates strong institutional support and broad market distribution.

NEW YORK--(BUSINESS WIRE)-- Blackstone (NYSE: BX) announced the completion of the previously announced offering of $750 million of 5.000% senior notes due 2034 of Blackstone Reg Finance Co. L.L.C., its indirect subsidiary. The notes are fully and unconditionally guaranteed by Blackstone Inc. and its indirect subsidiaries, Blackstone Holdings I L.P., Blackstone Holdings AI L.P., Blackstone Holdings II L.P., Blackstone Holdings III L.P. and Blackstone Holdings IV L.P. Blackstone intends to use the proceeds from the notes offering for general corporate purposes.

The notes were offered pursuant to an effective shelf registration statement on file with the U.S. Securities and Exchange Commission (the “SEC”) and only by means of a prospectus and related prospectus supplement. An electronic copy of the prospectus supplement, together with the accompanying prospectus, is available on the SEC’s website at www.sec.gov. Alternatively, copies of the prospectus supplement and accompanying prospectus may be obtained from: BofA Securities, Inc., telephone: 1-800-294-1322; Citigroup Global Markets Inc., telephone: 1-800-831-9146; Morgan Stanley & Co. LLC, telephone: 1-866-718-1649; RBC Capital Markets, LLC, telephone: 1-866-375-6829; or SMBC Nikko Securities America, Inc., telephone: 1-212-224-5135.

This press release shall not constitute an offer to sell or a solicitation of an offer to purchase the notes or any other securities, and shall not constitute an offer, solicitation or sale in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241206288826/en/

Investor and Media Relations Contacts

For Investors

Weston Tucker

Blackstone

Tel: +1 (212) 583-5231

tucker@blackstone.com

For Media

Matthew Anderson

Blackstone

Tel: +1 (212) 390-2472

Matthew.Anderson@blackstone.com

Source: Blackstone

FAQ

What is the value and interest rate of Blackstone's (BX) 2024 senior notes offering?

Blackstone's senior notes offering is valued at $750 million with a 5.000% interest rate, maturing in 2034.

How will Blackstone (BX) use the proceeds from its 2034 senior notes?

Blackstone intends to use the proceeds from the senior notes offering for general corporate purposes.

Which entities are guaranteeing Blackstone's (BX) 2034 senior notes?

The notes are fully guaranteed by Blackstone Inc. and its indirect subsidiaries, including Blackstone Holdings I L.P., AI L.P., II L.P., III L.P., and IV L.P.