Singapore’s Temasek buys stake worth US$3.5 billion in BlackRock

·1-min read
This photo taken on February 6, 2009 shows a sign outside the Singapore state investment arm Temasek Holdings office in Singapore. Temasek Holdings' portfolio lost more than 40 billion Singapore dollars (27.72 billion USD) in value as of end-March from a year before, the state investment firm's chief executive said on July 29, 2009.     AFP PHOTO / ROSLAN RAHMAN (Photo credit should read ROSLAN RAHMAN/AFP via Getty Images)
(FILE PHOTO: ROSLAN RAHMAN/AFP via Getty Images)

By David Ramli

(Bloomberg) -- Singapore’s Temasek Holdings has become one of the largest shareholders of BlackRock Inc. after it added a 3.9% stake in the money manager that’s worth about US$3.5 billion.

The state-owned investor was one of several players that bought BlackRock shares when PNC Financial Services Group Inc. sold a US$14 billion stake this year, according to people familiar with the matter. Temasek added 5.95 million shares in the second quarter, according to its 13F filings Friday with the U.S. Securities and Exchange Commission.

The investment has already paid dividends for Temasek, with BlackRock rising 8.4% since June 30, closing Thursday at US$589.56 in New York. Temasek is now the fifth-largest shareholder, according to data compiled by Bloomberg. The two companies have worked together in the past, with talks underway for a joint venture in China.

Temasek last month reported its worst year since 2016 after the coronavirus pandemic hammered global stocks in March. The firm posted a preliminary portfolio value of S$306 billion (US$223 billion) as of March 31.

Temasek held onto gains in its portfolio amid global trade uncertainties after selling S$28 billion (US$20.6 billion) of holdings as U.S. equity markets hit record highs and its unlisted assets outperformed.

Temasek Adds BlackRock, Exits BioMarin, Cuts Alibaba: 13F

The investor trimmed its U.S. holdings of Alibaba Group Holding Ltd. by half in the period, to 12.1 million shares worth $2.6 billion. It added shares of BeiGene Ltd. and China Biologic Products Holdings Inc., according to the filing.

Temasek representatives declined to comment.

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