Summary
Blackstone Inc. (BX) filed an 8-K on February 2, 2018, to report the departure of director Peter T. Grauer. Mr. Grauer resigned from the Board of Directors of Blackstone Group Management L.L.C. effective January 30, 2018. This decision was prompted by Blackstone funds' pending acquisition of a majority stake in the financial and risk division of Thomson Reuters Corporation, which Mr. Grauer's affiliation with Bloomberg L.P. could potentially conflict with. The departure of Mr. Grauer resulted in a reduction of the Board's size from eleven to ten members. While not legally mandated, Mr. Grauer deemed this action necessary to avoid any perceived or potential conflict of interest. Investors should note that this event is primarily a governance matter and does not appear to reflect any negative operational or financial performance of Blackstone itself.
Key Highlights
- 1Peter T. Grauer resigned as a member of the Board of Directors of Blackstone Group Management L.L.C. effective January 30, 2018.
- 2The resignation was a proactive measure due to a potential conflict of interest.
- 3The conflict arises from Blackstone funds' pending acquisition of a majority stake in Thomson Reuters Corporation's financial and risk division.
- 4Mr. Grauer is also Chairman of the board of Bloomberg L.P., a competitor to the acquired Thomson Reuters division.
- 5The size of the Board of Directors was reduced from eleven to ten members following Mr. Grauer's departure.
- 6The resignation was voluntary and not legally required.
- 7This filing is an 8-K Current Report, indicating a material event requiring timely disclosure.