Adebayo Ogunlesi, the seasoned 70-year-old Chairman and CEO of Global Infrastructure Partners (GIP) is poised to enter the billionaire league as his net worth experiences a remarkable surge, reaching an estimated $2.3 billion.
This financial upswing is intricately tied to the recent groundbreaking acquisition of GIP by BlackRock Inc., the world’s largest asset manager, in a historic deal valued at an astounding $12.5 billion.
Ogunlesi, holding a significant 17.5% stake in GIP, has swiftly become a prominent figure among Nigerian dollar-denominated billionaires, as per the Bloomberg Billionaires Index. His wealth, now estimated at around $2.3 billion, firmly establishes him as one of the influential figures in the global financial landscape.
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The acquisition, expected to conclude in the third quarter of 2024, involves a payment structure of $3 billion in cash and approximately 12 million shares, valued at roughly $9.5 billion based on closing prices as of January 11. This strategic move by BlackRock, managing assets totaling an astounding $10 trillion as of FY 2023, not only signifies a monumental financial deal but also cements its position as a powerhouse in the global financial market.
This acquisition marks a significant transformation for BlackRock, shifting its focus from traditional index-based investing to emerging as a major player in illiquid funds supporting intricate and substantial projects. BlackRock’s holdings in illiquid alternatives have experienced an impressive surge of 65% in the three years leading up to September 2023.
Adebayo Ogunlesi’s journey to financial eminence is characterized by academic brilliance and strategic leadership. Holding an undergraduate degree with first-class honors from Oxford University, a law degree, and an MBA from Harvard, his illustrious career includes a clerkship on the Supreme Court under Thurgood Marshall and pivotal roles such as heading Credit Suisse’s investment banking division and serving as the lead independent director at Goldman Sachs Group Inc.
His foray into the financial sector commenced after a brief stint at the prestigious law firm Cravath, Swaine & Moore. Perfectly timing his move with Wall Street’s mergers boom in the 1980s, he continued his ascent, particularly when Credit Suisse took over, overseeing the investment banking division in 2002.
In pursuit of change due to job dissatisfaction, Ogunlesi, alongside colleague Matt Harris, conceptualized the idea of managing infrastructure investments. This vision materialized with the founding of GIP in 2006, evolving into a diversified portfolio encompassing airports, gas pipelines, wind farms, and more.
Ogunlesi’s influence extends beyond the financial realm, with connections that include fireside chats with billionaire Henry Kravis and active participation in White House meetings. Currently chairing Joe Biden’s National Infrastructure Advisory Council, he continues to impact national infrastructure policies.
With the impending sale of GIP, Ogunlesi is set to resign as the lead independent director at Goldman Sachs, marking the conclusion of a significant chapter in his illustrious career. Recognized not only for his financial acumen but also for his golfing prowess and philanthropic initiatives, Ogunlesi’s journey stands as a testament to resilience and strategic vision in navigating the intricate world of global finance.
GIP’s extensive $100 billion in assets combine with BlackRock’s existing infrastructure assets of approximately $50 billion to form a formidable unit, rivaling industry giants like Macquarie Asset Management and Brookfield Asset Management.
BlackRock’s involvement in substantial infrastructure investments worldwide, including pipelines in the Middle East, a carbon-capture project in Texas, and a fiber network venture with AT&T Inc., further solidifies its dominant position in this space, promising a new era of influence and innovation in the realm of global infrastructure investment.