Blackstone Says Most of Its $550 Million to Stay With SAC
Stock Chart for Blackstone Group LP (BX)
Blackstone Group LP’s hedge-fund unit said it would keep most of its about $550 million in Steven Cohen’s SAC Capital Advisors LP for another quarter while it awaits more information on the government’s insider-trading case against a former portfolio manager at the $14 billion firm.
Over the past week, Blackstone negotiated a deal that gives all clients three more months to weigh their investment in the fund and still be able to get all their money out by the end of the year. Previously, investors could only redeem 25 percent of their money every quarter, meaning they would have had to tell the firm by today’s first quarter deadline in order to exit completely by Dec. 31.
“While we submitted redemptions for certain accounts as appropriate, BAAM successfully preserved flexibility for our clients by extending our decision time line,” Peter Rose, a Blackstone spokesman, said today in a statement. “We will use this period of time to evaluate all additional information which becomes available.”
Jonathan Gasthalter, a spokesman for SAC, declined to comment on the new redemption option.
To contact the editor responsible for this story: Christian Baumgaertel at email@example.com
Bloomberg reserves the right to edit or remove comments but is under no obligation to do so, or to explain individual moderation decisions.