GSO Capital, Blackstone Group’s New York-based credit arm, made $888 million in new investments in the third quarter, bringing its total invested capital in the last year to $2.3 billion. Most of the new money was invested in the energy, homebuilding, gaming and equipment and service sectors, according to an earnings release from Blackstone.
In the quarter, the firm also launched a European listed CLO equity retention vehicle, raising about $400 million in permanent capital during the quarter. GSO also recently raised two new CLOs totalling $1.2 billion. The group’s total assets under management are now at $70.1 billion, up from $69.5 billion in the last quarter and $63.3 billion in the third quarter of last year. The firm’s fee-earning AUM is now at $56.6 billion, up from $56.1 billion last quarter and $49.4 billion twelve months earlier.
GSO’s revenues came in at $228 million in the quarter, a 25 percent increase year-on-year. “Realization activity remains robust with $2.9 billion returned to investors during the quarter and $10.3 billion in the last twelve months primarily from carry funds and CLOs post their re-investment periods,” said a statement from Blackstone.
The firm’s other divisions have also been growing to record AUM, with total firm AUM now at $284 billion. Executives on Blackstone’s earnings call on 16 October said the firm has a lot of dry powder ready to deploy across a number of investment opportunities, and has fundraising plans for private equity, energy, real estate and secondaries strategies.