Blackstone is buying Harvest Fund Advisors, a fund management firm that specialises in investing in public master limited partnerships (MLPs).
The acquisition will give Blackstone $10bn (鈧�8.51bn) in additional assets under management allocated to MLPs that hold US midstream energy assets.
Tony James, president and chief operating officer at Blackstone, said: 鈥淗arvest is a leader in bringing institutional investors to the MLP asset class.
鈥淚t has generated superior long-term results for its investors.
鈥淗arvest鈥檚 expertise in this area will complement our extensive energy investing activities across Blackstone.鈥�
Dwight Scott, a senior managing director of Blackstone and president of the company鈥檚 credit subsidiary GSO, said: 鈥淲e see significant growth and opportunity in the MLP markets today, especially in the continued evolution towards broader institutional ownership.
鈥淭he Harvest team leads the way in this evolution and has a unique and successful approach to investing in this often misunderstood asset class.
鈥淲e have known the team for several years and have seen their creative approach to the sector first hand.鈥�
The transaction is expected to close during the fourth quarter of 2017.
