BlackRock in Talks with Millennium Management

By Paritosh Bansal and Carolina Mandl

(Reuters) – BlackRock is currently in early-stage discussions with Millennium Management regarding a potential strategic partnership, which might involve acquiring a minority stake in the hedge fund, according to two sources familiar with the situation.

The sources indicated that the outcome of the discussions remains uncertain, and the strategic rationale behind any transaction is also unclear. Earlier reports by the Financial Times highlighted the possibility of this deal.

Founded by Israel Englander, Millennium manages approximately $70 billion in assets and has seen a 10% increase in value year-to-date as of October.

BlackRock (NYSE:BLK), which had about $11.5 trillion in assets by the end of September, has been actively pursuing acquisitions this year. Their strategy aims to create a comprehensive platform that integrates both public and private market investments.

In October, BlackRock successfully completed its $12.5 billion acquisition of Global Infrastructure Partners, enhancing its investment capabilities in global infrastructure projects.

Furthermore, BlackRock is expected to finalize its $3.2 billion acquisition of Preqin, a private markets data provider, later this year, further solidifying its position in private markets.

These strategic initiatives are expected to enhance BlackRock's footprint in both infrastructure investments and private markets, which are pivotal growth sectors.