Another Name Enters the iShares ETF Bidding War

June 08, 2009 at 11:38 am by Tom Lydon      Bookmark and Share

iShares ETFsThe bidding war for the iShares line of exchange traded funds (ETFs) is heating up as the June 18 deadline approaches.

BlackRock is now reportedly in talks to buy Barclays’ asset management unit for $12 billion, say Paul Rubillo and Tom Reese for Forbes. The deal could also potentially include iShares line of ETFs, which is worth $1.5 trillion in assets under management.

If the deal goes through, BlackRock would grow to $2.8 trillion in assets under management and Barclays would take a 20% stake in BlackRock.

But those aren’t the only names being bandied about: Bank of New York Mellon is also rumored to be in talks to buy the Barclays unit. Last week, Vanguard reportedly made a $5 billion offer for the iShares line.

iShares has a deal with Blue Sparkle LP, a limited partnership established by CVC Capital Partners, but the sale included an agreement that iShares could solicit other offers until June 18.

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