SEC Filing Summary: Form 13F-HR
Business Context and Reporting Period
This filing is a Form 13F Holdings Report submitted by The Blackstone Group L.P. for the quarter ended September 30, 2011. The report discloses equity securities held by the institutional investment manager and two other included managers: Blackstone Capital Partners V L.P. and GSO Capital Partners LP. The report was signed by John G. Finley on November 14, 2011.
Key Financial Metrics
As a Form 13F filing, this document reports portfolio holdings rather than the operating financial performance (revenue, profit, cash flow) of Blackstone Inc. itself. Key metrics from the filing include:
- Total Portfolio Value: $5,981,052 (in thousands), totaling approximately $5.98 billion.
- Number of Holdings: 36 entries reported in the information table.
- Top Holdings by Value:
- Freescale Semiconductor Shared-Holdings I, Ltd.: $2,163,390 (in thousands)
- Nielsen Holdings N.V.: $1,436,887 (in thousands)
- General Growth Properties Inc.: $604,310 (in thousands)
- TRW Automotive Holdings Corp.: $637,856 (in thousands)
- Team Health Holdings, Inc.: $583,018 (in thousands)
- Debt and Liquidity: The filing text does not provide data on the manager's corporate debt, liquidity, or operating margins. It does list specific debt securities held in the portfolio, such as CEMEX SA Euro MTN BE Debt.
Material Changes and Portfolio Composition
The filing provides a snapshot of holdings as of the period end. It does not explicitly state material changes versus the prior period (June 30, 2011) within the text provided, as Form 13F is a static disclosure of current holdings. Notable portfolio characteristics include:
- Significant Stakes: The manager holds substantial positions in private equity-backed or recently public companies, including Freescale Semiconductor (via a limited partnership structure) and Nielsen Holdings.
- Derivatives: Several holdings include call options (e.g., Beazer Homes USA Inc., General Motors Co., Pulte Group Inc., Standard Pac Corp).
- Voting Authority: Most holdings are reported with "Sole" voting authority, though some are listed under "Other" managers or involve shared discretion.
Guidance, Risks, and Unusual Items
The filing text does not contain management commentary, forward-looking guidance, or risk factors regarding the manager's future performance. However, the following structural notes are present:
- Control Structure: The Blackstone Group L.P. is managed by Blackstone Group Management L.L.C., which is controlled by founder Stephen A. Schwarzman.
- Discretionary Nuances: Certain shares (e.g., Orbitz Worldwide Inc.) are reported but are under the investment discretion of a different entity (Blackstone LR Associates (Cayman) V Ltd.), though Mr. Schwarzman is a controlling person of that entity.
- Co-Investments: Specific holdings in General Growth Properties and Howard Hughes Corporation include shares owned by co-investment entities.
Key Facts for Investor Verification
- Verify the distinction between the reported portfolio value ($5.98 billion) and the total assets under management of Blackstone, as this report covers only specific equity holdings.
- Confirm the nature of the Freescale Semiconductor holding, which is held through a limited partnership structure rather than direct public equity.
- Note that the filing includes holdings where Blackstone does not have sole investment discretion (e.g., Orbitz Worldwide), which may affect voting power analysis.
- Check subsequent filings to determine if the call options listed (e.g., for Beazer Homes, General Motors) were exercised or expired.