The firm blames the tortoise-slow deal environment, as Blackstone’s current fund has way more dry powder than what was expected at this point in 2008. The firm did put more money to work in the fourth quarter of 2007 than in any other quarter in the firm’s history, thanks largely to a $20 billion acquisition of Hilton Hotels Corp. But it’s been very slow going ever since that deal was consummated in October.
It’s also worth noting that this fund-raising drive is expected to mirror past Blackstone efforts, which means no definitive target or final close date. Similarly, the firm’s current fund closed on $22 billion in mid-2007 after coming to market in 2004 with a $10 billion target. —Dan Primack
C.P. Eaton Partners is serving as placement agent.
Asia Alternatives last year closed its debut fund of funds with $515 million. Limited partners included CalTech, California Public Employees’ Retirement System, Comprehensive Financial Management, Mass Mutual Asia, Mass Mutual Japan, Massachusetts Mutual Life Insurance Co., OHIM Asia Investors (affiliate of Oak Hill Investment Management), Ontario Municipal Employees Retirement System, Pennsylvania Public School Employees’ Retirement System, Warren Hellman and Arthur Rock.
The firm was founded in late 2006 by former professionals at Auda Private Equity. It used Citigroup as fund placement agent.