BlackRock Inc. will acquire private capital database provider Preqin for £2.55 billion ($3.2 billion) in cash, as the world's largest money manager accelerates its push to become a major player in alternative assets.
The acquisition deepens BlackRock's ability to oversee risks and analyze data across fast-growing markets for private assets, and also expands its Aladdin technology systems, the New York-based firm said in a statement on Sunday.
"We see data powering the industry across technology, capital formation, investing and risk management," Rob Goldstein, BlackRock chief operating officer, said in the statement.
Private markets are the fastest growing part of asset management, with alternative assets expected to reach nearly $40 trillion by the end of the decade, according to BlackRock's statement.
That's prompting surging demand from investors for relevant data with the total addressable market expected to reach $18 billion by 2030, up from around $8 billion today.
For BlackRock Chief Executive Officer Larry Fink, the deal would be a second major acquisition this year to expand into the fast-growing world of private markets investing.
The firm announced a deal in January to acquire Global Infrastructure Partners for about $12.5 billion, a landmark move to expand its offerings beyond primarily stocks and bonds.
