Barclays To Sell Stake in BlackRock

By
ETF.com Staff
May 21, 2012
Share:

It’s final: Barclays plans to unload the stake it has held in BlackRock since BlackRock bought BGI in 2009.

Barclays Plc, the U.K.-based company behind the iPath family of ETNs as well as some of the most widely used fixed-income indexes, plans to sell its $6.1 billion, 19.6 percent stake in New York-based asset manager BlackRock back to BlackRock.

The $6.1 billion stake, made up of common shares and Series B convertible participating preferred stock, is valued in euros at $3.8 billion—a bit more than the $3.4 billion euros fair value at which the investment was written down in September 2011, Barclays said today in a press release.

Barclays said BlackRock filed regulatory paperwork today outlining the transaction, under which the British bank intends to exercise its option to sell its entire holding in BlackRock, the world’s biggest publicly traded asset manager.

The holding dates back to BlackRock’s 2009 acquisition of Barclays Global Investors—the company that first developed the iShares brand of exchange-traded funds.

iShares is the world’s largest ETF company, with some $466 billion in ETF assets, according to data compiled by IndexUniverse.

 

ETF.COM CHANNELS

Trying to figure out alternatives ETFs? Use our alternatives ETFs channel, library and ETF screener!

Want to learn more about smart-beta ETFs? Check out our smart-beta guide, essentials library and ETF screener!

ETF DAILY DATA

Large-cap U.S. equities and U.S. bond funds, particularly Treasury ETFs, captured the bulk of fresh ETF net assets Wednesday, Sept. 2.

'SPY' and 'BIL' paced State Street's issuer-leading inflows Wednesday, Sept. 2, as total U.S.-listed ETF assets rose to $2.010 trillion.

ETF.COM ANALYST BLOGS

By Dave Nadig

With many ETFs currently trading well off fair value, what’s an ETF investor to do? Don’t panic.

By Matt Hougan

Out-of-favor funds can bring attractive returns.

By Matt Hougan

New data from Charles Schwab show that the death of mutual funds is happening faster than we thought.

By Dave Nadig

Grab the popcorn. Precidian just doubled-down on its nontransparent active ETF proposal with the SEC this morning.

ETF INDUSTRY PERSPECTIVE

By John Del Vecchio

An index that goes long financially sound companies and shorts the ones with problematic balance sheets.

By Dan Draper

The nature of retirement is changing. How can investors adapt?

By Invesco PowerShares

A more in-depth look at the smart-beta survey's results.