Not only is Blackstone about to formalize the largest fundraising ever recorded for a buy-out vehicle at $26 billion (Private Equity International), but the American investment company is also changing the fundraising standards of the private equity industry.
Indeed, it is customary for GPs to announce the fundraising objective and the hard cap of a given vehicle prior to collection, in particular to reassure LPs of the manager's ability to control his investments. In contrast to Blackstone’s shift with this latest milestone, Blackstone Capital Partners VIII, whose recent activity in the domain was limited to a laconic statement by President Jon Gray, who estimated last January that it should exceed $20 billion.
It will be much more than that. Enough, in any case, to supplant Apollo Global Management, the brand created by his New York colleague in the summer of 2017 with its $24.6 billion LBO fund. In addition to Blackstone’s strong reputation in its various businesses and international presence, there is no doubt that the performance of the seventh generation fund (approximately 21% of TRI, when the American market was approaching 10% in 2015) has reinforced its subscribers’ choice to renew their confidence.