Blackrock To Buyback $2.5B Stake From BofA

BlackRock will repurchase the remaining stake of the firm held by Bank of America (BofA) for $2.5 billion, The Wall Street Journal reports. As per the deal, the money manager will buy back BofA’s nearly 13.6 million series B convertible preferred shares for about $187.65.

BlackRock seeks to fund the repurchase with available cash and a total of $2 billion of commercial paper, medium-term and long-term debt. BofA bought the stake with its 2009 acquisition of Merrill Lynch. BofA’s investment-bank head, Thomas Montag, will remain on BlackRock’s board even after the deal.

Click here for the story from The Wall Street Journal.

Click here for additional coverage from Financial Times.