KKR finalizes stake in WMI Holdings

|About: KKR (KKR)|By:, SA News Editor

KKR yesterday purchased about $11M (face value) of convertible preferred stock in WMI Holdings (WMIH) and committed to the purchase of another $150M of subordinated 7.5% PIK notes. The P-E firm also received 5-year warrants to purchase about 61.4M common shares - with half struck at $1.32 per share, and the other half at $1.43.

KKR also has the right to take down up to 50% of any equity offerings up to $1B in the next three years. KKR's stake in the WMI can't go higher than 42.5%.

Previous coverage