Revolut interested in selling alternative assets from Blackstone - Bloomberg

Europe's most expensive fintech service Revolut has started talks on a partnership with the world's largest alternative asset manager Blackstone, Bloomberg reported citing sources. According to them, the parties are discussing the offer of Blackstone funds on the Revolut platform - clients of the private banking service, which is now being developed by the British company.

Negotiations are still at an early stage and it is uncertain whether any agreement will eventually be reached, Bloomberg's interlocutors said.

Representatives for Revolut and Blackstone declined to comment to the agency.

The agreement between Revolut, which has nearly 70 million users across countries, and Blackstone will be one of the biggest examples of private-equity funds looking for ways to reach wealthy investors because of the need for new sources of funding, Bloomberg writes.

In Europe, which is now the main market for Revolut, Blackstone has tripled the number of private banks, wealth managers and insurers it works with in the past two years, the agency said. This is part of President John Gray's strategy to turn Blackstone into a mass investment platform by creating products open to the retail market while maintaining its institutional franchise, it added.

Revolut has started hiring a team to work in the private equity market: the service seeks to expand its line of services in the wealth management segment, Bloomberg wrote on December 12. The company was looking, for example, for entry-level investment bankers, asset managers and private equity advisors. Revolut declined to comment to Bloomberg on the matter at the time.

Revolut became interested in the market amid the fact that private markets have grown significantly in both scale and importance, the agency said. At the same time, the industry is increasingly concerned about "overheating" and heightened risks in parts of the private market due to soaring asset valuations, limited regulation and macroeconomic pressures, Bloomberg noted.

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