Shares of Blackstone Group LP (BX) plummeted 6.97% in pre-market trading on Monday, as investors reacted to a series of negative developments surrounding the private equity giant. The stock's sharp decline comes amid reports of a frozen IPO and a significant price target cut by a major financial institution.

According to Spanish newspaper El Confidencial, Blackstone has decided to halt the initial public offering (IPO) of Spanish gambling company Cirsa, which was originally planned for after the Easter holiday. The decision was reportedly made in response to recent stock market volatility, forcing Blackstone to reconsider its exit strategy. Instead of proceeding with the IPO, the firm is now exploring the possibility of a direct sale to another private equity firm. This unexpected change in plans has raised concerns among investors about Blackstone's ability to maximize returns on its investments in the current economic climate.

Adding to the negative sentiment, Barclays has significantly reduced its price target for Blackstone, cutting it from $186 to $129. This dramatic reduction suggests a less optimistic outlook for the company's future performance and has likely contributed to the stock's sharp decline. As one of the world's largest alternative asset managers, Blackstone's performance is closely monitored as an indicator of the broader private equity market's health. The combination of the frozen Cirsa IPO and the lowered price target has sparked investor concerns about Blackstone's near-term profitability and overall investment strategy in these challenging market conditions.