Blackstone Value Creation

We strive to be more than a capital provider, but a capital partner, equipping borrowers with tools – from procurement to cybersecurity to operations – to help them unlock their potential.

Helping to Create Efficiencies

  • Identifies revenue generation opportunities across the broader Blackstone portfolio and works directly with management teams of borrowers to drive incremental revenue

    BXCI portfolio companies introduced becoming active participants [ 1 ]

    90%+

    Revenue generated by BXCI portfolio companies [ 2 ]

    $268M

    The Blackstone Credit Value Creation team helped a BCRED portfolio company in the online consumer retail industry to drive $3M+ of incremental revenue by making 100+ introductions for this portfolio company, creating $36M total implied enterprise value. [ 3 ]

  • Identifies cost reduction opportunities across a multitude of categories to drive immediate savings

    Total illustrative value created across BXCI portfolio companies [ 4 ]

    $5B

    Total cost reduction across BXCI portfolio [ 5 ]

    $411M

    The Blackstone Value Creation team helped a BCRED portfolio company in the building products industry to identify $4M total cost reduction opportunities, creating $27M total implied enterprise value. [ 6 ]

  • Taps into Blackstone’s intellectual capital to provide companies access to industry expertise and resources in areas such as cybersecurity and healthcare

    Internal Blackstone human capital resources available to portfolio companies

    100+

    Critical cyber issues identified and corrected in 2024 across BXCI [ 7 ]

    191

    Proprietary cyber assessments completed as of 4Q24 across BXCI portfolio

    59

Jonathan Bock Quote

“This program was created with a partnership mindset to add value for companies and I believe it truly sets us apart from other lenders.”

Jonathan Bock

Senior Managing Director, Credit

This number represents the amount of introductions across Blackstone Credit & Insurance portfolio companies and is not limited to introductions made to BCRED portfolio companies, which may have a lower participation rate or be significantly lower. “Active Participants” mean (i) a company that has an ongoing project and / or (ii) a company that has completed a project but may not currently have a project in effect. All Blackstone Credit & Insurance portfolio companies for which Blackstone Credit & Insurance originates loans are eligible to receive services from the Value Creation Program. The Value Creation Team generally proactively contacts sponsors and portfolio companies if the company satisfies certain objective criteria established by the Value Creation Team. When Blackstone Credit & Insurance exits the position, the portfolio company is no longer eligible to receive services from the Value Creation Program.
Numbers presented are since inception of the Value Creation Program in 2016. Data presented is based on internal Blackstone data recorded and not from financial statements of portfolio companies. Represents total contract value, including multi-year contracts.
As of September 30, 2024. Represents the sum of a) estimated annual cost reduction at the time cost is benchmarked with the portfolio company multiplied by the enterprise value multiple at the time of BXCI’s initial investments b) total revenue from BX program introductions multiplied by EBITDA margin and multiple at investment The number is presented for illustrative purposes and does not reflect actual realized proceeds to BXC or to the equity sponsor or the company, and there can be no assurance that realized proceeds received by Blackstone or any investor in a Blackstone fund will be increased as a result. The case study herein reflects an objective non-performance based standard of showing a holistic partnership through the value creation program that received support through, but not limited to, introductions.
Figures are presented for illustrative purposes and include underlying information provided by third parties. They do not reflect actual cost savings or realized proceeds to BXCI, a fund, or to the equity sponsor or the company, and there can be no assurance that cost savings or realized proceeds received by Blackstone or any investor in a Blackstone fund will be increased as a result. Numbers presented are calculated since inception of the Value Creation program in 2016. Figures presented are based on data reported by portfolio companies and assets and not from financial statements of portfolio companies. While the data reported by portfolio companies and assets is believed to be reliable for purposes used herein, it is subject to change, and Blackstone has not fully verified, and does not assume responsibility for, the accuracy or completeness of this information. Represents the sum of (a) estimated identified total cost reduction opportunities at the time cost is benchmarked with portfolio companies (see footnote 2 for additional details) multiplied by the average enterprise value multiple across the portfolio, by finding the mean of the enterprise value multiples at time of BXCI’s initial investments, and (b) total revenue from introductions across Blackstone portfolio companies multiplied by EBITDA margin and multiple at investment of the portfolio company, with the exception of significantly longer term projects (projects that are greater than or equal to 10 years in project duration) in which total revenue is multiplied by EBITDA margin. Estimates assume revenue enhancements and costs savings directly improve enterprise value or EBITDA margins and that such revenue gains or cost savings will endure for the period of time implied by multiples.
Numbers presented are since inception of the value creation program in 2016. Data presented is based on internal Blackstone data recorded and not from financial statements of portfolio companies. Represents estimated identified total cost reduction across all BXCI portfolio companies at the time cost is benchmarked with portfolio companies.
As of September 30, 2024. Represents estimated annual cost reduction described in Footnote 4 multiplied by enterprise value multiple at the time of BXC’s initial investment. The number is presented for illustrative purposes and does not reflect actual realized proceeds to BXC or to the equity sponsor or the company, and there can be no assurance that realized proceeds received by Blackstone or any investor in a Blackstone fund will be increased as a result. The case study herein reflects an objective non-performance based standard of showing a holistic partnership through the value creation program that received support through, but not limited to, cost reduction opportunities.
Throughout 2024.