Blackstone Ready for Big Open

According to a public release issued by Blackstone, the company priced 133,333,334 common units.

The deal's underwriters -- Morgan Stanley(MS Quote) and Citigroup (C Quote) along with Merrill Lynch (MER Quote), Credit Suisse(CS Quote), Lehman Brothers (LEH Quote) and Deutsche Bank(DB Quote) -- have a 20-million-share over-allotment that they can purchase up to 30-days after the sale

Blackstone and other alternative investment outfits have come under intense scrutiny as of late. The Senate Finance Committee is considering a bill that would increase the tax rate for those entities.

Bloomberg reported Thursday that U.S. Reps. Henry Waxman (D., Calif.) and Dennis Kucinich (D., Ohio) asked SEC Chairman Christopher Cox to delay the IPO's pricing, saying the deal may present "investors and the public with new and undisclosed risks."

The Fortress and Blackstone IPOs used a loophole in the existing tax code that allows them to benefit from a 17% partnership tax rate, rather than the 35% rate that typically applies to conventional companies.

Blackstone made a statement last Friday warning investors to take into account the implications tax legislation might have on its business and share valuation.

The deal has drawn scrutiny in part because of the wealth being generated for the firm's leaders. Blackstone CEO and co-founder Stephen Schwarzman looks to rake in $677 million from the IPO and achieve a net worth of $7.5 billion from his stake in Blackstone.