HPS Investment Partners: Significant Milestone for the Future

The private credit firm HPS Investment Partners may be facing a significant turning point: According to informed sources, the executives are currently in discussions with potential buyers, including the world's largest asset manager, BlackRock. The company is valued at over $10 billion. In parallel, HPS is exploring the possibility of an IPO. With $117 billion in assets under management as of June this year, HPS is an attractive option for large financial firms looking to expand into private credit management. BlackRock, which manages $10.6 trillion in assets worldwide, shows strong interest in alternative investments such as private equity and infrastructure. The recently completed acquisition of Global Infrastructure Partners for $12.5 billion underscores CEO Larry Fink's strategic growth focus on these asset classes. However, it remains uncertain whether these discussions will come to fruition, as HPS is also negotiating with other potential partners. Internally, the possibility of an IPO is still being discussed, after an initial listing planned for the end of September was postponed to be considered after the US presidential elections. In recent months, HPS has expanded its activities and sold a significant stake in Guardian Life Insurance, bringing the company an additional $30 billion in assets under management. HPS was founded by former Goldman Sachs executives, including CEO Scott Kapnick, who previously led the investment banking division at Goldman. The increasing collaborations between private credit specialists and traditional asset managers reflect the trend of many companies turning to non-bank sources for financing. Notable recent acquisitions include the purchase of Angelo Gordon by TPG and Brookfield's majority stake in Oaktree.