Blackstone has purchased Harvest Fund Advisors, a Pennsylvania-based investment advisory firm focused on master limited partnerships and US midstream energy assets.
Blackstone would not disclose the terms of the agreement. Harvest had not responded to inquiries at the time of publication.
Harvest, founded in 2005, manages around $10 billion in assets. The firm invests through pooled vehicles and separately managed accounts, with most of its capital coming from institutional investors.
“We see significant growth and opportunity in the MLP markets today, especially in the continued evolution towards broader institutional ownership,” said Blackstone managing director Dwight Scott. “The Harvest team leads the way in this evolution and has a unique and successful approach to investing in this often-misunderstood asset class.”
Blackstone has recently been active in the pipeline sector. Earlier this month, the firm paid $1.57 billion for a 49.9 percent stake in the holding company controlling the Rover Pipeline, which runs from West Virginia, Pennsylvania and Ohio to Canada. In April, the firm bought Eagle Claw Midstream Ventures, which develops energy infrastructure in the Permian Basin in West Texas, for $2 billion.
In May, Blackstone announced the launch of a $40 billion infrastructure fund, anchored with a $20 billion commitment from Saudi Arabia’s sovereign wealth fund.