Temasek buys $4.8b stake in BlackRock

Temasek has become one of the largest shareholders of BlackRock after it added a 3.9 per cent stake that is worth about US$3.5 billion (S$4.8 billion).

BlackRock is the world's largest asset management firm, with assets under management of almost US$7.4 trillion at the end of last year.

The Singapore investment company was one of several players that bought BlackRock shares when PNC Financial Services Group sold a US$14 billion stake this year, according to people familiar with the matter.

Temasek added 5.95 million shares in the second quarter, according to its 13F filing last Friday with the United States Securities and Exchange Commission.

The investment has already paid dividends for Tema-sek, with BlackRock up 8.4 per cent since June 30, closing last Thursday at US$589.56 in New York. Temasek is now the fifth-largest shareholder, according to Bloomberg-compiled data. The two firms have worked together before, with talks under way for a joint venture in China.

The investment has already paid dividends for Temasek, with BlackRock up 8.4 per cent since June 30, closing last Thursday at US$589.56 in New York.

Temasek last month reported its worst year since 2016 after the pandemic hammered global stocks. It posted a preliminary portfolio value of $306 billion as of March 31. The firm trimmed its US holdings of Alibaba Group Holding by half in the period, to 12.1 million shares worth US$2.6 billion. It added shares of BeiGene and China Biologic Products Holdings, according to the filing. Temasek representatives declined comment.

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A version of this article appeared in the print edition of The Straits Times on August 17, 2020, with the headline 'Temasek buys $4.8b stake in BlackRock'. Subscribe