Blackstone Sees Promising Year Ahead for IPOs, Driven by AI
Blackstone’s president, Jon Gray, has expressed optimism about the firm’s potential to facilitate multiple public offerings this year, attributing much of the expected activity to advancements in artificial intelligence. Speaking on Thursday, Gray noted, “Once this war resolves, I do think we’ll see an acceleration,” referring to the current geopolitical tensions impacting market stability. He highlighted that Blackstone aims to complete several Initial Public Offerings (IPOs) in the near future.
Despite a tumultuous start to 2026, marked by unrest surrounding the US-Israeli conflict in Iran, global IPO proceeds surged by over 50% in the first quarter compared to early 2025, according to data from Dealogic. Bloomberg reports that nine portfolio companies within Blackstone’s investments across the US, Europe, and Asia have already filed regulatory paperwork for new listings.
Notable companies linked to Blackstone, including the sandwich chain Jersey Mike’s and the mobile ad firm Liftoff, have also announced plans to go public. Liftoff has refiled its initial submission following a previous withdrawal, raising hopes for its entrance into the public markets. Furthermore, Blackstone’s private equity fund holds stakes in significant private companies expected to capture the spotlight this year, such as OpenAI, Anthropic, and SpaceX.
Gray also indicated sectors that may see less IPO activity, particularly the professional services and software industries, suggesting that Blackstone’s companies might have advantageous positioning for successful offerings.
In its recent earnings report, Blackstone reported a 25% increase in total distributable earnings, reaching $1.8 billion compared to the same quarter last year. However, the firm faced challenges in its credit and insurance division, where earnings fell 26% to $373 million. The private credit segment saw a drop in returns, declining to 0.6% from 2.7% in the previous year.
Despite these mixed results, Blackstone’s flagship non-traded private credit fund, Bcred, experienced a rise in investment inflows, even amidst growing redemption requests as investors reassess their portfolios during uncertain economic times. Gray remains confident, reassuring stakeholders that the private credit sector will endure current challenges, stating, “I think these tests are helpful… we’re going to get through this like we’ve always gotten through these moments, and these products are going to continue to grow.”
Prominent figures in finance, including Treasury Secretary Scott Bessent and Federal Reserve Chair Jay Powell, along with JPMorgan Chase’s CEO Jamie Dimon, have downplayed concerns, asserting that the private credit industry does not pose a systemic risk.
Blackstone’s current trajectory suggests a robust engagement in the public markets, bolstered by technology trends. Investors will be keen to follow how the firm’s strategies unfold amid shifting economic landscapes and technological advances.
Summary: Blackstone’s president Jon Gray remains optimistic about the firm’s prospects for public offerings this year, attributing this to advancements in artificial intelligence. Despite geopolitical tensions affecting market stability, global IPO proceeds have significantly increased. Notable companies in Blackstone’s portfolio are preparing for public listings, and while the firm faced challenges in its credit division, it reported overall earnings growth. Gray believes the private credit sector will navigate its current challenges effectively, supported by positive outlooks from prominent financial figures.
