RJ and Makay

Bank of America is selling its remaining 7% stake of Blackrock to Blackrock for $2.5 billion.  Blackrock is buying the stake, 13.6 million shares, at 187.65 a share, a 3.6% discount on the average closing price of the shares over the past 15 trading days.

The deal should make it easier for Blackrock to double its mutual fund business over the next three years, analysts say.  The firm is financing the purchase through available cash and $2 billion of medium and long-term commercial paper debt.