Blackstone Closes First Acquisition in China

Blackstone Group(BX Quote) completed its first Chinese acquisition, paying as much as $600 million for a stake in specialty chemicals maker China National BlueStar, Bloomberg reports.

Buyout firm Blackstone agreed in September 2007 to buy a 20% stake from state- owned China National Chemical, which will own the rest of BlueStar. The deal's completion may be announced next week, Bloomberg reports, citing people familiar with the deal.

The $600 million investment includes a $100 million shareholder loan which will be forgiven if BlueStar's profit meets an undisclosed target this year, Bloomberg reports.