Blackstone’s Clarion Events is in talks with private credit lenders to raise around £1.1bn ($1.5bn) to fund a dividend payout and refinance existing debt, according to people familiar with the matter cited by Bloomberg.

The financing, structured as a dividend recapitalisation, would allow Blackstone to return capital to investors while retaining ownership of the events and exhibitions organiser. The debt package is expected to include a portability clause, enabling the loans to remain in place if Clarion is sold, a process Blackstone began evaluating earlier this year.

The decision to pursue a recapitalisation follows a wave of similar transactions across the private equity industry, as sponsors tap the deep and flexible private credit market to extract liquidity amid subdued M&A and IPO activity.

Blackstone has held Clarion since 2017, having acquired the company from Providence Equity Partners. The UK-based group runs over 180 exhibitions and conferences annually across defence, energy, gaming, and retail sectors.

The discussions come as other private equity firms, including CVC Capital Partners, explore similar moves. CVC-backed software firm WebPros is currently negotiating a refinancing with private credit funds, Bloomberg reported earlier this week.

Both Blackstone and Clarion declined to comment on the talks.

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