BlackRock may be nearing a $38B deal for AES to capitalize on AI power demand
A new BlackRock deal could wisely position the asset manager to capitalize on surging demand for power as the generative AI boom shows no signs of slowing down. The news Global Infrastructure Partners (GIP), the infrastructure fund manager purchased by BlackRock, is nearing a $38 billion deal to acquire renewable power company AES , according to the Financial Times . If this were to happen, it would be one of the largest infrastructure takeovers in history. AES, a prominent utility in the U.S., owns and operates power plants across the globe. The firm has provided energy solutions for the world’s largest tech companies, including Club holdings Amazon , Microsoft , and Meta Platforms , as each of them increases their artificial intelligence spending and looks to build more power-hungry data centers. The FT reported that takeover talks are in advanced stages, but a BlackRock-AES deal could still fall through. A GIP spokesperson denied CNBC’s request for comment. Shares of AES surged more than 15% on Wednesday, making up for lackluster year-to-year trading. Club stock BlackRock fell 2% amid broader weakness in financials as the overall stock market weighed the implications of the government shutdown and September’s much weaker-than-expected ADP report on hiring at U.S. companies. Still, BlackRock was just under 3% off Tuesday’s record-high close of $1,175. The stock has increased about 11% in 2025, which slightly trails the S & P 500′ s 13% advance. Big picture The FT report comes roughly a year after BlackRock completed its acquisition of GIP for $12.5 billion, which added $100 billion in client assets to BlackRock’s existing $50 billion in client infrastructure assets under management. GIP’s major investments include London’s Gatwick Airport, major energy pipelines, and more than 40 data centers, BlackRock said in March. GIP was one of several acquisitions that have given BlackRock more exposure to private markets. Since the start of 2024, BlackRock has acquired private credit manager HPS Investment Partners for $12 billion and alternatives data provider Preqin for $3.2 billion. In fact, CEO Larry Fink previously forecasted that infrastructure would be one of the fastest-growing segments of private markets. He cited, in part, the data center buildout. “We’re standing at the edge of an opportunity so vast it’s almost hard to grasp. By 2040, the global demand for new infrastructure investment is $68 trillion,” Fink said in his 2025 annual letter to investors. “To put that price tag in perspective, it’s roughly the equivalent of building the entire Interstate Highway System and the Transcontinental Railroad, start to finish, every six weeks—for the next 15 years.” Bottom line BlackRock would stand to benefit from an AES acquisition because it would expand the asset manager’s reach in high-growth infrastructure. Increased AI infrastructure spending by Big Tech, such as energy-intensive data centers, has been a financial windfall for companies able to help meet surging power demand. Just look at fellow Club holding GE Vernova stock, which manufactures heavy-duty gas turbines that support these facilities. The industrial stock has gained 83% year-to-date. To be sure, we’re by no means saying that BlackRock will turn into a data center play. Instead, the acquisition would diversify BlackRock’s revenue streams further — so it could rely less on its traditional exchange-traded fund (ETF) business, which is massive. Plus, AES has been underperforming in 2025, as seen prior to Wednesday’s session. That means it “could be a great deal for GIP to snap it up,” Jeff Marks, director of portfolio analysis for the CNBC Investing Club, said Wednesday. After all, he added, “one of the strongest long-term themes in the market is power generation.” (Jim Cramer’s Charitable Trust is long BLK, GEV, META, MSFT, AMZN. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
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