Blackstone, Saudis to Partner on Infrastructure

Hamilton James, president of Blackstone

NEW YORK CITY—Blackstone and Saudi Arabia’s Public Investment Fund have signed a non-binding memorandum of understanding to establish a $40-billion infrastructure vehicle. PIF will provide an anchor contribution of $20 billion, with the balance to be raised from other investors.

“This potential investment reflects our positive views around the ambitious infrastructure initiatives being undertaken in the United States as announced by President Trump, and the strategic opportunity for the Public Investment Fund to achieve long-term returns given historical investment shortfalls,” says H.E. Yasir Al Rumayyan, PIF’s managing director. Blackstone ultimately expects to invest in more than $100 billion of infrastructure projects, mainly in the US; globally the asset management giant has invested $40 billion in the sector over the past 15 years.