Blackstone president Jon Gray sees major year for IPOs driven by AI
Blackstone president Jon Gray sees major year for IPOs driven by AI
David HollerithThu, April 23, 2026 at 6:12 PM UTC
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Blackstone (BX) president Jon Gray said on Thursday he still expects the firm to have a major year taking companies public, and the main driver is coming from artificial intelligence.
“Once this war resolves, I do think we’ll see an acceleration,” said Gray, who is Blackstone’s No. 2 executive and the eventual successor of longtime CEO Stephen Schwarzman.
“We think we'll be able to get a number of IPOs done,” he added.
Despite a volatile start to 2026, which included the outbreak of the US-Israeli war in Iran, global IPO proceeds rose more than 50% in the first quarter compared to the first three months of 2025, according to Dealogic data.
All told, nine of Blackstone’s portfolio companies across the US, Europe, and Asia have submitted regulatory documents for new listings, according to Bloomberg.
Blackstone COO Jonathan Gray is interviewed on the floor at the New York Stock Exchange in New York, Tuesday, March 3, 2026. (AP Photo/Seth Wenig) ()
Two notable Blackstone-backed companies shared plans to go public earlier this month: sandwich chain Jersey Mike’s and Liftoff, a mobile ad tech company that refiled this week after withdrawing its initial public filing two months ago.
Blackstone’s private equity fund, BXPE, also holds shares in private companies OpenAI (OPAI.PVT), Anthropic (ANTH.PVT), and SpaceX (SPAX.PVT), which are expected to be this year’s biggest headliners.
“Where there will be less [IPO] activity, will be in the professional services, information, services, software — the white collar world,” Gray said, adding that Blackstone’s roster of companies “may be a little more favorable to others in this IPO regard.”
Blackstone’s Gray brushes off private credit concerns
Blackstone kicked off first quarter earnings for a group of big money managers that found themselves under increased pressure during the year’s start amid broad worries that some major private credit and equity players have portfolios filled with exposure to software companies at risk of AI disruption.
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Blackstone’s stock fell more than 7% on Thursday despite a strong earnings report from the firm.
Blackstone’s total distributable earnings climbed 25% to $1.8 billion compared to the first quarter of last year. However, within the firm’s credit and insurance division, the same figure fell 26% to $373 million. Returns from the private credit business fell to 0.6% from 2.7% in the year-ago quarter.
Blackstone’s flagship non-traded private credit fund, Bcred, faced heightened redemption requests amid a broader investor exodus. The event did not stop Blackstone from seeing higher investment inflows into its credit and insurance business, which makes up roughly a third of its managed assets.
When asked about the year’s rough start for some of these private credit funds, Blackstone’s Gray batted away concerns over the private credit industry.
“I think these tests are helpful,” Gray said. “We’re going to get through this like we’ve always gotten through these moments, and these products are going to continue to grow.”
Notably, Treasury Secretary Scott Bessent, Federal Reserve Chair Jay Powell, and several big bank executives, including JPMorgan Chase CEO Jamie Dimon, have all said they do not see the private credit industry as a systemic risk in and of itself.
David Hollerith covers the financial sector, ranging from the country's biggest banks to regional lenders, private equity firms, and the cryptocurrency space.
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Source: “AOL Money”
