UPDATE 3-BlackRock to buy BGI, becomes top asset manager

viernes 12 de junio de 2009 06:07 CEST

* BlackRock to pay $13.5 billion for Barclays BGI

* Deal makes BlackRock world's biggest asset manager

* BlackRock to pay in cash and shares; raising $2.8 bln (Adds analyst quote, details throughout)

By Svea Herbst-Bayliss

BOSTON, June 11 (Reuters) - BlackRock Inc. (BLK.N: Cotización) said on Thursday it will buy British bank Barclays Plc's (BARC.L: Cotización) investment arm BGI for $13.5 billion in a blockbuster deal that will create the world's biggest asset manager.

For BlackRock, a 21-year old company which relied heavily on acquisitions to grow from a one-room bond investment firm into the largest publicly traded U.S. money manager, the deal will more than double assets to roughly $2.7 trillion.

It will also give New York-based BlackRock, well-known for working with governments and institutional clients, access to retail investors and the hugely popular exchange traded funds San Francisco-based Barclays Global Investors offers.

BGI, which has operations in 15 countries and ranks as Europe's largest hedge fund manager, will help expand BlackRock's reach around the world and into new products spanning actively and passively managed portfolios.

"This gives BlackRock a global footprint which is a substantial thing to have in these markets," said Geoff Bobroff, who advises mutual fund companies as president of Bobroff Consulting Inc.   Continuación...