KKR Profit Rises 26% As Assets Soar

Nov 14 2007 | 7:22am ET

Private equity giant Kohlberg Kravis Roberts, preparing for an initial public offering, said yesterday that its net income rose 26% in the first half as leveraged buyout activity soared.

KKR said in a filing with a Securities and Exchange Commission that profits rose to $667.4 million from $529 million in the year-earlier period, as assets under management soared 89% to $45.1 billion. Strong investment performance—investment income rose 69% to $3.4 billion during the period—offset a decline in fee income due to lower transaction fees. KKR earned $115.4 million in fees, a 26% drop from last year.

“Financing leveraged buyout transactions by issuing high-yield debt securities in the public capital markets has recently become more costly and restrictive,” according to the filing.

In Depth

Related-Company Fees: Normal Industry Practice or Conflicted Compensation?

Nov 11 2015 | 4:23pm ET

Regulatory agencies as well as investors are increasingly exploring whether certain...


Ferrari Roars in Wall Street Debut

Oct 21 2015 | 4:28pm ET

Shares of supercar maker Ferrari jumped as much as 15 percent to a high of nearly...

Guest Contributor

Private Debt - What is the Opportunity?

Nov 11 2015 | 3:28pm ET

In this contributed article, Rob Allard, founding partner of Firebreak Capital...


Editor's Note

    Oct 21 2015 | 10:41am ET

    One of the most unique charity benefits in the hedge fund industry, A Leg To Stand On's (ALTSO's) Hedge Fund Rocktoberfest - NYC, raised nearly $500,000 last Thursday thanks to the generous support of major sponsors and nearly 1,400 attendees from the Tri-State finance, business and hedge fund communities. Read more…