Today, General Electric announced the sale of GE Capital’s PK AirFinance to Apollo Global Management and Athene Holding. All three stocks rose on the news.
The real estate segment of Blackstone Group (BX) garnered total revenues of $641 million in the first quarter, a decline of 17% on a YoY (year-over-year) basis.
In Q1 2018, The Carlyle Group’s (CG) global credit AUM (assets under management) rose 15% YoY (year-over-year) to $33.8 billion due to foreign exchange translation and fundraising offset by realizations.
The performance of the Blackstone Group’s (BX) credit division is affected mainly by outflows. In the first quarter, the debt markets witnessed outflows primarily because of expectations for higher interest rates.
Significant buyout On March 27, 2018, AkzoNobel announced it would be selling its specialty chemicals business to GIC and The Carlyle Group (CG) for $12.5 billion. The private equity companies are sitting on a substantial amount of cash, raising concerns among market participants and fund investors. From the past few years, these companies have seen substantial fundraising, creating a need for such huge investments. Carlyle […]
Apollo Global Management’s (APO) credit segment witnessed a substantial rise in the total revenues from $214.9 million in 4Q16 to $296.9 million in 4Q17.
Lower valuation Apollo Global Management (APO) has a one-year forward PE (price-to-earnings) ratio of 9.8x, whereas its peers’ average ratio is 9.9x. Peers Fortress Investment Group (FIG), Ares Management (ARES), and Oaktree Capital (OAK) have ratios of 8.5x, 10.3x, and 11.0x, respectively. Apollo’s discounted valuation may be due to its carried interest income falling between 3Q16 […]
Inflow and outflow Apollo Global Management’s (APO) AUM (assets under management) saw a significant inflow of $7.9 billion in 3Q17, reaching $241.5 billion. Its credit division had the highest inflow among divisions, of $6.6 billion. Apollo’s private equity and real asset divisions saw an inflow of $0.6 billion and $0.7 billion, respectively, during 3Q17. The company had an outflow of $601 […]
In 3Q17, the Carlyle Group’s (CG) Corporate Private Equity division saw a marginal decline in distributable earnings, from $209 million in 3Q16 to $207 million in 3Q17.
Lower valuation The Blackstone Group (BX) saw strong numbers in 3Q17, with an economic net income of $834 million, a 21% rise YoY (year-over-year). Blackstone has an NTM (next-12-month) price-to-book ratio of 3.7x. Competitors’ average NTM price-to-book ratio is 4.4x, a valuation lower than Blackstone’s. Peers KKR (KKR), Apollo Global Management (APO), and The Carlyle Group (CG) have […]
Strong inflows In 3Q17, The Blackstone Group’s (BX) total AUM (assets under management) rose 7% YoY (year-over-year) to $387.4 billion due to strong inflows. Of the total AUM, private equity AUM and credit AUM amounted to $102.5 billion and $99.5 billion, respectively. The real estate and hedge fund solution divisions had AUM of $111.3 billion and $74.2 billion. […]
Corporate private equity funds rise The Blackstone Group’s (BX) corporate private equity funds rose 3.3% in 3Q17, thanks to its private portfolio. However, the company’s public portfolio fell in 3Q17, impacting its private equity division. Over the last twelve months, corporate private equity funds rose 16%. Blackstone’s TTM (trailing-12-month) ROE (return on equity) was 25.4%. Peers (XLF) KKR (KKR), […]
Higher valuation Blackstone Group’s (BX) one-year price target is $40.00 per share, implying an increase of 23.72% from the current price of $32.33 per share. As of June 30, 2017, Blackstone’s total capital available for investment stood at $90.0 billion, of which the company’s private equity division has available capital of $37.5 billion, and the […]
Increase in total revenue Blackstone’s (BX) hedge fund solutions division saw total revenue of $264.2 million in 1H16 and $380.9 million in 1H17, reflecting a 44% rise. This substantial rise was due to investment income and performance fees. The division’s total investment income rose from -$8.2 million in 1H16 to $29.4 million in 1H17, due […]
Six of 14 analysts currently covering Blackstone stock gave “strong buy” ratings. Six analysts gave “buy” ratings, and the remaining two analysts gave “hold” ratings.
Assets under management in individual divisions Apollo Global Management’s (APO) private equity division had total AUM (assets under management) of $68 billion in 2Q17, of which $44.5 billion were AUM on March 31, 2017. In 2Q17, its AUM net flow was $24 billion. Net flow is mean inflow after deducting outflow. The division witnessed realizations of […]
Four analysts have rated Carlyle (CG) stock a “buy,” while four have given it a “strong buy” rating, and the remaining four have rated the stock a “hold.”
In 2Q17, Carlyle Group (CG) posted strong ENI (economic net income) of $300 million, which reflects a substantial increase over its $158 million in 2Q16.
KKR & Co.’s (KKR) Private Equity division reported monitoring, management, and transaction fees of $178.2 million in 2Q17, reflecting a 29.3% increase year-over-year.
Blackstone Group (BX) reported economic net income of $705.0 million in 2Q17, which reflects a substantial rise of 36.0% on a YoY (year-over-year) basis.
In 1Q17, Carlyle Group’s total realized proceeds stood at $3.5 billion, out of which more than 50.0% was contributed by the Investment Solutions division.
Wall Street analysts expect KKR & Company (KKR) to report its 2Q17 earnings on July 27, 2017. Analysts expect KKR to post earnings per share of $0.66 in 2Q17.
Fundraising in 2H17 In 1Q17, Affiliated Managers Group (AMG) did not see fundraising in private equity, though it did see realizations. According to management, large fundraising in private equity is expected towards the end of 2017 and at the beginning of 2018. This fundraising is expected due to strong performance by private equity affiliates Pantheon and EIG […]
Rise in affiliates Thanks to Affiliated Managers Group’s (AMG) relationship with major companies, it has a positive outlook due to the increase in investments in new affiliates. Despite global political uncertainty, AMG is still in a position to compete with alternative asset managers (XLF) such as Apollo Global Management (APO), AllianceBernstein (AB), and Ameriprise Financial (AMP), […]
In 1Q17, Blackstone (BX) reported strong economic net income or ENI of $986 million, mainly due to appreciation in funds and growth in FRE or fee-related earnings.
Blackstone’s (BX) private equity division is expected to benefit from two major transactions—namely, the acquisition of EagleClaw Midstream Ventures and the acquisition of Ascend Learning.
The merged entity of Janus Capital Group (JNS) and Henderson Group (HGG) will help accelerate the twin strategic objectives for diversification and growth.
The merger of Janus Capital Group (JNS) and Henderson Group (HGG), announced in late 2016, was finalized on May 30, 2017. It’s said to be a merger of equals.
Carlyle’s board of directors has announced a 1Q17 distribution of $0.10 per common unit, payable on May 22—lower than its $0.16 per common unit in 4Q16.
Carlyle Group (CG) raised new capital of $3 billion in 1Q17, which included $1.4 billion from its Investment Solutions segment and $1 billion from Real Assets.
Carlyle Group has a number of credit strategies in place, and for its LPs (limited partnerships), the company is planning to invest in new credit strategies.
In 1Q17, KKR & Co. (KKR) deployed ~$5.4 billion in its Public Markets and Private Markets segments. KKR is expected to post EPS of $0.49 in 2Q17 and $2.15 in fiscal 2017, representing year-over-year growth of 113% and 216%, respectively.
In 2016, alternatives saw higher investments as well as exits on the back of improved liquidity, rising markets, higher valuations, and distressed pricing in corporate credit.
KKR & Company (KKR) has managed higher realizations over the past few quarters as reflected in its higher distributions to limited partners or investors.
