BlackRock Acquires Aperio in $1.05B Deal

BlackRock’s acquisition of Aperio will be funded from existing corporate liquidity and is anticipated to close in the first quarter of 2021. Although minimally dilutive to earnings per share, the transaction is not expected to be dilutive on a cash basis, the company said in the statement.

The deal will boost BlackRock’s separately managed account (SMA) assets by roughly 30% to over $160 billion.

“While modestly dilutive on a GAAP basis in the year one, the purchase provides valuable scale to BlackRock’s (BLK) customized SMA business. Aperio’s track record in ESG investing also compliments BLK’s increased focus and success in this area. BLK intends to keep Aperio as a standalone unit,” said Daniel T. Fannon, equity analyst at Jefferies.