Despite Harder Times, Blackstone Adds To Asian Team (BX)

The Blackstone Group (NYSE: BX) is making changes to its structure in Asia, and these changes may allow it to become an investment banker and advisor rather than just a deal-maker or investor.  The private equity giant has gone out and swiped key personnel from several investment banking firms to be based in Hong Kong and Beijing.

The twelve person team includes two partners and three managing directors, as follows:

• Anthony Steains, partner, formerly with Lehman Brothers;
• Jianping Zheng, partner, formerly with HSBC;
• Johan van Jaarsveld, managing director, formerly with Lehman Brothers;
• Dong Hyun Lee, managing director, formerly with Lehman Brothers;
• Jing Xiaowen, managing director, from HSBC.

Hiring 12 people in a private equity firm the size of Blackstone mayseem a drop in the bucket.  But this shows that there is a long-termcommitment here where the "haves" can pick up the talent in a troubledworld.  This may also end up changing the private equity firm’s rolewhere it acts more like an investment banker rather than as a buyer orinvestor.  That remains to be seen.

Jon C. Ogg
September 30, 2008