KKR Nabs JPMorgan 'Fix-It Person' For Troubled Portfolio Co.

Apr 29 2013 | 12:37pm ET

Kohlberg Kravis Roberts' stewardship of First Data Corp. hasn't gone precisely as planned. Now, the private-equity giant has turned to a top JPMorgan Chase executive to turn the payment processor around.

Frank Bisignano was named CEO of First Data on Friday. The company has lost money every quarter since KKR bought it 2007. In one of the largest leveraged buyouts of all time, KKR paid $26.35 billion for the company, but now values it at only 70% of that level.

"Frank is known for managing technological innovation in customer-focused businesses, and can now apply his skills and experience to leading the largest transaction payment processing company in the world," First Data Chairman Joe Forehand said.

Bisignano had spent eight years at JPMorgan, moving from one crisis to another. He helped integrate the bank with Bear Stearns, which it bought during the financial crisis. In 2011, he took over JPMorgan's mortgage operations amidst controversy over foreclosures, and last year was named co-chief operating officer in the wake of the London Whale trading catastrophe, which cost JPMorgan more than $6 billion.

Prior to joining JPMorgan, Bisignano was at Citigroup, and led that bank's operations following the Sept. 11, 2001, terrorist attacks.

Todd Maclin, a top executive at JPMorgan, in 2011 called Bisignano "the best fix-it person we have."


In Depth

Debunking Conventional Investment Wisdom

Feb 8 2017 | 3:22pm ET

Due diligence in the hedge fund world has long involved some combination of the...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

iCapital Network: The Trump Effect On Direct Lending

Feb 23 2017 | 4:21pm ET

The arrival of the Trump Administration has raised questions among private debt...

 

From the current issue of