KKR Wins Approvals For Prisma Acqusition

Sep 13 2012 | 7:52am ET

Kohlberg Kravis Roberts said yesterday that it was on track to complete it acquisition of Prisma Capital Partners next month, even as two important clients of the fund of hedge funds expressed concerns about the deal.

KKR announced in June that it would buy Prisma for an undisclosed sum. Yesterday, it said that it had all necessary consents and regulatory approvals for the deal for the $8.1 billion fund of funds.

"We are pleased with Prisma's performance and business momentum since announcing the transaction in June and we appreciate the support from Prisma's clients," KKR co-founders Henry Kravis and George Roberts said. "We believe that the combination of Prisma's deep investment capabilities and KKR's global footprint will create a unique offering in the market, and we look forward to Prisma becoming part of KKR."

Unfortunately for the happy couple, two of Prisma's public pension fund clients are not looking forward to the union. Both the Alaska Retirement Management Board and Kentucky Retirement Systems expressed concern about the deal, although neither is poised to pull its money.

"We're not happy that this has come up," T.J. Carlson, chief investment officer for the Kentucky system, told The Wall Street Journal. "We wish they would have stayed independent, the way they were."

KKR has sought to reassure such investors by noting that Prisma CEO Girish Reddy will lead its fund of funds effort, which its other two co-founders have agreed to remain with the combined company.


In Depth

Q&A: Executive Recruiter Talks Hedge Fund Closures, Hiring Trends

Dec 19 2014 | 6:58am ET

This year, hedge funds have been closing at a rate not seen since the financial...

Lifestyle

Cooper-Hohn Won't Contest Divorce Settlement

Dec 18 2014 | 9:51am ET

The ex-wife of hedge fund billionaire Christopher Hohn will not contest a divorce...

Guest Contributor

Alternative Investment Funds Face A Communications Imperative

Dec 19 2014 | 6:10am ET

A handful of the top alternative investment firms on both sides of the Atlantic...

 

Sponsored Content

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

December 2014 Cover

Futures 2014 person of the year

Jeff Sprecher was simply looking for a platform to trade energies when launching ICE 14 years ago but it has grown to reach the pinnacle of both the listed futures and equities world.

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.