PNC Financial Services Intends To Sell Investment In BlackRock

(RTTNews) - PNC Financial Services Group Inc. (PNC) Monday said it intends to sell its investment in BlackRock Inc. (BLK).

A preliminary prospectus supplement relating to the offering of BlackRock shares will be filed by BlackRock with the U.S. Securities and Exchange Commission. PNC currently holds 34.8 million common and Series B preferred shares of BlackRock, representing 22.4% ownership.

In connection with the offering, the underwriters will have an option to purchase up to an additional amount of BlackRock shares, exercisable within 30 days following the pricing of the offering.

Further, BlackRock has agreed to repurchase $1.1 billion of its stock from PNC conditional on completion of the offering.

PNC originally purchased BlackRock in 1995 and the two companies have had a mutually beneficial relationship for more than 25 years.