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, 2012. The report discloses equity securities held by the institutional investment manager and includes holdings for one other included manager, GSO Capital Partners LP. The report was signed by John G. Finley on November 13, 2012.
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 Reported Value: $8,337,980 (in thousands), totaling approximately $8.34 billion.
- Total Number of Holdings: 30 entries.
- Top Holdings by Value:
- Kosmos Energy Ltd: $1,438,673 (in thousands)
- Nielsen Holdings N.V.: $1,523,138 (in thousands)
- Freescale Semiconductor, Ltd: $1,865,262 (in thousands)
- General Growth Properties Inc: $802,466 (in thousands)
- TRW Automotive Holdings Corp: $851,839 (in thousands)
- Debt and Liquidity: The filing text does not provide a clear value for the manager's corporate debt or liquidity positions, as this form focuses on long-only equity positions.
Material Changes and Portfolio Composition
The filing does not provide comparative data against the prior quarter (June 30, 2012) to determine material changes in holdings. However, the portfolio composition reveals significant exposure to:
- Technology and Media: Freescale Semiconductor, Nielsen Holdings, Dish Network.
- Real Estate and Hospitality: General Growth Properties, DiamondRock Hospitality, Felcor Lodging Trust, Brandywine Realty Trust.
- Energy: Kosmos Energy, CrossTex Energy, EV Energy Partners.
- Financials: BankUnited, KeyCorp, Zions Bancorporation.
Several large positions (Freescale, Kosmos, Nielsen, Orbitz) include shares held through affiliated funds or entities where investment discretion may be shared or controlled by Stephen A. Schwarzman.
Guidance, Risks, and Unusual Items
This filing type does not contain management guidance, outlook, or risk factors regarding the manager's operations. Notable items regarding the holdings include:
- Derivatives: The portfolio includes call options on Dish Network and put options on KeyCorp, SPDR S&P Regional Banking, SPDR S&P 500 ETF, and Zions Bancorporation.
- Investment Discretion: Footnotes indicate that for several major holdings (Cumulus Media, Kosmos Energy, Nielsen, Orbitz), a portion of the shares are not under the direct investment discretion of The Blackstone Group L.P. but are controlled by affiliated entities or Mr. Schwarzman.
- Debt Securities: The report includes one debt security: MGM Resorts International 4.250% Note valued at $18,545 (in thousands).
Investor Verification Checklist
- Verify the distinction between holdings under direct Blackstone discretion versus those controlled by affiliated funds or Mr. Schwarzman, particularly for Freescale, Kosmos, and Nielsen.
- Confirm the total aggregate value of $8.34 billion represents only the specific accounts reported in this 13F and not the total assets under management of the entire Blackstone Group.
- Review the specific terms of the derivative positions (puts and calls) to understand the hedging or speculative intent behind these specific holdings.
- Note that this filing does not reflect the financial health of Blackstone Inc. (the parent company) but rather the equity portfolio of its investment management arm.