•  
• Tweet
•  
•        Print
•  
•         Track Keywords
•  
• 

Komfie Manalo, Opalesque Asia:

A hedge fund unit of the Blackstone Group has confirmed that it has acquired a minority stake in the $13.6bn Magnetar Capital, which is run by former Citadel trader Alec Litowitz.

According to the New York Times, the deal with Magnetar is the latest for the hedge fund arm of Blackstone. The unit is based in New York and is headed by J. Tomilson Hill. To date, Hill has acquired minority stakes in several portfolios and has raised over $3bn.

Litowitz said in a statement, "Blackstone’s investment provides a catalyst that will help us achieve the firm’s strategic objectives, which include continuing to attract and retain key talent, increasing our investment in our funds and deepening our relationship with a leader in the alternative asset management sector."

Over the past months, investment firms have been racking up their equity stakes in hedge funds. In April the family office of the Google chairman Eric E. Schmidt acquired a 20% stake in the D. E. Shaw. Neuberger Berman Group bought a 20% stake in activist hedge fund Jana Partners in March.

Hill commented, "We have been invested in Magnetar funds since early in the firm’s history, and have great respect for the organization and its people."

Background

Last month, Blackstone Group ......................

To view our full article Click here