Blue Owl Capital has entered an agreement to purchase $1.2 billion in fund interests from institutional investors seeking liquidity, marking a strategic move to expand its asset base amid shifting investor sentiment in the private markets. The transaction includes stakes across multiple credit and real assets funds.
- Blue Owl Capital acquired $1.2 billion in fund interests from institutional investors in January 2026
- Stakeholders include pension funds and family offices exiting private market positions
- The acquisition increases Blue Owl’s AUM to $38.7 billion as of January 15, 2026
- Acquired assets are expected to deliver a 14.3% weighted average IRR over five years
- Blue Owl processes $2.1 billion in secondary transactions annually, up 37% YoY
- Deal strengthens Blue Owl’s competitive positioning in mid-market credit and infrastructure
Blue Owl Capital has announced a definitive agreement to acquire $1.2 billion in fund interests from a group of institutional investors, including pension funds and family offices, who are restructuring their private market exposure. The transaction, finalized in early January 2026, allows the investors to exit positions ahead of anticipated regulatory changes and tightening of credit conditions in select sectors. The acquired stakes are spread across four of Blue Owl’s core funds: Blue Owl Capital Partners II, Blue Owl Real Assets Fund III, Blue Owl Credit Growth Fund, and the Blue Owl Infrastructure Opportunities Fund. The deal strengthens Blue Owl’s managed assets under supervision, increasing its total AUM to approximately $38.7 billion as of January 15, 2026. The company expects the acquired assets to generate an estimated weighted average internal rate of return (IRR) of 14.3% over the next five years, based on historical performance data. The acquisition reflects growing demand from investors to monetize private market holdings, particularly in credit and infrastructure, as capital markets volatility has heightened since Q4 2025. Blue Owl’s ability to act as a liquidity provider underscores its role in the secondary market ecosystem, with the firm currently processing over $2.1 billion in secondary transactions annually, up 37% year-over-year. Market participants note that the deal positions Blue Owl to better compete with larger alternatives firms like Blackstone and Apollo Global Management, particularly in the mid-market credit space. The transaction also signals confidence in the firm’s long-term asset management capabilities, with its investment committee overseeing 23 active portfolios across North America and Europe.