Blue Owl Capital is set to acquire IPI Partners, a digital infrastructure investment firm, for approximately $1bn as the firm looks to benefit from the growing demand for data centres driven by the rapid adoption of generative AI, according to a report by Reuters.
The acquisition of the Chicago-based business, which is a joint-venture between investment manager ICONIQ Capital and private equity firm Iron Point Partners, will be financed through a combination of 80% equity and 20% cash, and will see Blue Owl add roughly $10.5bn in AUM.
Blue Owl currently manages more than $192bn in total assets.
Founded in 2016, IPI Partners boasts a portfolio of 82 data centres worldwide, providing over 2.2 gigawatts of leased capacity. The company specialises in investments that support the backbone of cloud computing and AI technology.
In a statement, Blue Owl’s Co-CEOs Doug Ostrover and Marc Lipschultz said: “There is a massive market opportunity to finance data centers, driven by an increasing investor appetite for strategies that align with cloud and AI-driven growth.”
The acquisition is Blue Owl’s fourth in 2024 as the firm seeks to expand its reach in insurance, private credit, and real estate sectors. Earlier this year, Blue Owl acquired Kuvare Asset Management, real estate lender Prima Capital Advisors, and credit manager Atalaya Capital Management.
Following the completion of the deal, IPI’s Managing Partner Matt A’Hearn will become the head of Blue Owl’s digital infrastructure strategy, which is part of its real estate platform.
