Blackstone Takes Strategic Stake in $10B Infra Asset Manager

Blackstone Credit & Insurance (BXCI), a division of Blackstone Inc., has taken a strategic minority stake in ITE Management, L.P., an alternative asset manager specializing in transportation infrastructure with over $10 billion in assets under management. Terms of the deal were not disclosed.

The move is paired with a forward-flow partnership where BXCI aims to funnel up to $2 billion into ITE for investments and financing over the initial phase

NY-based ITE specializes in asset-backed investments across rail, intermodal, specialty aviation, port infrastructure, and electric vehicles. The transaction proceeds will support ITE’s existing products and fund growth initiatives. ITE will maintain independent operations under co-founders Jason Koenig and David Smilow.

“ITE is a respected leader in the transportation infrastructure space, where they own, operate, and finance critical assets that support key segments of the U.S. economy,” said Robert Horn, global head of infrastructure & asset-based credit at BXCI. “We are excited to partner with ITE on large scale transportation infrastructure investment opportunities across the capital structure and return spectrum.”

BXCI’s infrastructure and asset-based credit platform manages over $90 billion. The platform is focused on investment grade credit, non-investment grade credit, and structured investments in digital infrastructure, energy transition infrastructure, consumer finance, commercial finance, and residential real estate.

Goldman Sachs & Co. LLC is acting as the exclusive financial advisor to ITE and Weil, Gotshal & Manges is acting as legal advisor to ITE. Guggenheim Securities, LLC is acting as financial advisor and Kirland & Ellis is acting as legal advisor to Blackstone.