8-KMaterial AgreementsFinancial EventsOther Events+1

Blackstone Inc. 8-K Report, Material Agreement (Apr 11, 2019)

Filed April 11, 2019For Securities:BX

Summary

This 8-K filing by Blackstone Inc. (BX) on April 11, 2019, announces the completion of a significant debt offering. Specifically, Blackstone Holdings Finance Co. L.L.C., an indirect subsidiary, successfully issued €600,000,000 aggregate principal amount of 1.500% Senior Notes due 2029. These notes are unsecured and unsubordinated, with interest payable annually and maturity in 2029. The offering was made under the existing indenture, supplemented by a Twelfth Supplemental Indenture, and includes full and unconditional guarantees from several indirect subsidiaries of Blackstone Inc. This issuance represents a move by Blackstone to secure long-term financing at a favorable interest rate. The terms of the indenture impose certain covenants limiting the ability of the issuer and guarantors to incur secured indebtedness, merge, or sell assets, providing a layer of security for noteholders. The filing also details provisions for events of default, redemption options (including a make-whole provision before maturity and a par redemption option closer to maturity), and a change of control repurchase event, offering insights into the financial strategy and risk management of the company.

Key Highlights

  • 1Blackstone completed the issuance of €600,000,000 of 1.500% Senior Notes due 2029.
  • 2The notes are unsecured and unsubordinated obligations of the issuer, Blackstone Holdings Finance Co. L.L.C.
  • 3The issuance is supported by full and unconditional guarantees from several indirect subsidiaries of Blackstone Inc.
  • 4The notes bear a fixed annual interest rate of 1.500%, payable annually.
  • 5The Indenture includes covenants restricting secured debt, mergers, and asset sales, aimed at protecting noteholders.
  • 6The notes are subject to redemption by the issuer, including at a 'make-whole' price prior to maturity, and at par thereafter.
  • 7A change of control repurchase event triggers an offer to repurchase the notes at 101% of the principal amount.

Frequently Asked Questions

This 8-K filing announces the completion of Blackstone's offering of €600,000,000 of 1.500% Senior Notes due 2029. It details the terms of the notes, the guarantees provided, and the associated indentures.

The notes have an aggregate principal amount of €600,000,000, mature on April 10, 2029, and bear a fixed interest rate of 1.500% per annum, payable annually. They are unsecured and unsubordinated obligations of the issuer.

Yes, the notes are fully and unconditionally guaranteed by several indirect subsidiaries of Blackstone Inc. The indenture also includes covenants that limit the issuer's and guarantors' ability to incur secured debt, merge, or sell significant assets. Additionally, there are provisions for events of default and a change of control repurchase event.

Blackstone can redeem the notes at its option. Prior to January 10, 2029, redemption will occur at a 'make-whole' price. On or after January 10, 2029, the notes may be redeemed at par plus accrued interest. In specific cases related to changes in tax law requiring additional payments, Blackstone also has the option to redeem the notes at 100% of their principal amount plus accrued interest.