• Fri, Jul. 1, 12:04 PM
    • Harley-Davidson (HOG +13.1%) spikes higher following a report from TheFly.com that traders are circulating chatter of potential takeover interest in the motorcycle maker from KKR (KKR -0.3%).
    • A P-E deal for HOG is "not a completely far-fetched idea," TheStreet.com's Brian Sozzi writes, noting that shares had been down ~30% YTD but the company has built up significant brand equity through the years that may not be reflected in the valuation, and has worked to re-tool its manufacturing facilities for more efficient production.
    • From HOG's perspective, "it may be open to offers as a way to leave Wall Street's scrutiny in what has been several challenging quarters," Sozzi says.
    | Fri, Jul. 1, 12:04 PM | 31 Comments
  • Tue, Apr. 5, 11:49 AM
    • With what may turn out to be good timing, KKR has exceeded its $3B target for its second special-situations fund.
    • “The U.S. is, we think, in the late stages of a credit cycle,” says fund co-head Jamie Weinstein. "We’ve had a very significant boom in credit assets ... As you come to the end of that cycle, you see a rise in defaults.”
    • KKR's began selling this fund in 2014 after its first special-situations vehicle - with $2B - put money to work quicker than expected. Unlike the first fund which invested mostly in Europe, this new one will focus on U.S. companies. The first fund is averaging a 7% annualized return as of Dec. 31 - that's down from 15% a year earlier.
    • Weinstein notes energy companies still aren't looking for private-fund money. That trigger will come, he says, when their hedges end, their bank credit lines shrink, and they run out of cash.
    | Tue, Apr. 5, 11:49 AM | 1 Comment
  • Fri, Mar. 4, 1:41 PM
    • Thomson Reuters (TRI +0.5%) is apparently open to selling off its Intellectual Property & Science business in parts rather than all at once, a move that could speed divestitures and raise it more than $3B.
    • The deal is likely to attract bids from private-equity firms, Bloomberg says -- including KKR (KKR +3.2%), Advent International, BC Partners and Cinven, along with corporate bidders.
    • Thomson Reuters would prefer to sell it as a whole, but could independently sell scientific and scholarly research, life sciences, and intellectual property, sources told Reuters' news division. Proceeds could be used to buy back shares, as CEO Jim Smith said he has no plans for major acquisitions this year.
    • An auction is set to kick off later this month. The company had said in November it was exploring strategic options for the unit, which employs about 3,200 and had revenue of about $1B in 2014.
    • Previously: Thomson Reuters exploring options for $1B IP & Science business (Nov. 11 2015)
    | Fri, Mar. 4, 1:41 PM
  • Wed, Feb. 17, 9:52 AM
    • While both stock's are lower by about 45% since mid-April, The Carlyle Group (CG +6.2%) offers compelling long-term value, says analyst Michael Cyprys, while KKR's (KKR -0.2%) balance sheet could be a near-term risk to earnings.
    • He upgrades Carlyle to Overweight with $20 price target (49% upside) and downgrades KKR to Equalweight with $14 price target (marginal upside).
    • Positive catalysts for Carlyle include a $4B exit portfolio pipeline, a $4B investment deployment pipeline, the just-announced $200M buyback, and management's increased focus on cost control. The market is likely to give more value to the company's future earnings potential as deployment speeds up, says Cyprys.
    • "We think the Street is mis-modeling KKR's balance sheet earnings, and we expect 1Q to be far more challenging than 4Q,” he says, expecting the company to report a loss of $1.51 per share vs. consensus of a $0.10 loss. He notes KKR's large public equity position (42% of funds vs. peers in the 11-27% range), along with negative credit and energy marks.
    | Wed, Feb. 17, 9:52 AM | 4 Comments
  • Thu, Feb. 11, 8:22 AM
    • Q4 economic net income of $71M or $0.08 per share vs. $46M and $0.05 one year ago. Full-year ENI of $1.21 per share vs. $1.84 in 2014.
    • Q4 after-tax cash earnings per share of $0.21 vs. $0.44 a year ago; full-year of $1.78 vs. $2.47 in 2014.
    • Book value per adjusted unit of $11.78 slips from $12.07 a year ago.
    • 17.5M shares bought back during quarter for $270M, and another 1.7M stock awards were canceled for a total of 19.2 shares retired - nearly 5% of the float.
    • Conference call at 10 ET
    • Previously: KKR misses by $0.19, beats on revenue (Feb. 11)
    • KKR -4.2% in very thin premarket action.
    | Thu, Feb. 11, 8:22 AM | 13 Comments
  • Wed, Feb. 10, 3:15 PM
    • These MOUs are paid to take their capital and reap big returns doing deals, not try and support the stock price with share repurchases. “It doesn’t make much sense, obviously,” says UMass economics professor William Lazonick.
    • Yet The Carlyle Group (CG +3.3%) today joined Apollo Global (APO -0.9%), KKR (KKR -5.2%), and Fortress Investment (FIG -1.7%) in launching sizable share repurchase programs, with Carlyle CEO David Rubenstein saying (earnings call transcript) none of his company's owners finds the current stock price "satisfactory or acceptable."
    • Don't look for Blackstone (BX +1.9%) to join the crowd. “Limited partners believe that if you don’t invest in your own funds, you don’t show confidence or alignment,” said Stephen Schwarzman on his recent earnings call (transcript). "We always want to have a lot of money around." Just to be clear, Schwarzman has also been very vocal about how cheap he believes Blackstone shares are.
    • The last word goes to Lazonick: “At least they’re not buying high, but that’s not relevant ... They should be trying to figure out how to invest better.”
    • ETFs: PSP, PEX
    | Wed, Feb. 10, 3:15 PM | 26 Comments
  • Dec. 10, 2015, 10:26 AM
    • Outliers to the upside in private-equity today are KKR (KKR +3.8%) and Apollo Global (APO +3.9%) as Jefferies initiates coverage on three of the battered sector's names.
    • KKR is started with a Buy and $20 price target - 27% upside to last night's close. Apollo is started with a Buy and $19 PT - 25% upside to last night's close.
    • The Carlyle Group (CG +0.7%) is initiated with a Hold and $19 price target.
    | Dec. 10, 2015, 10:26 AM | 14 Comments
  • Nov. 2, 2015, 3:14 PM
    • Leading the way higher for the roughed-up sector are alternative players like Och-Ziff Capital (OZM +10.1%) and KKR (KKR +9.3%). There's also Blackstone (BX +4.3%), Fortress (FIG +3.2%), Oaktree (OAK +4.2%), and Carlyle Group (CG +7.4%).
    • Traditional names like Manning and Napier (MN +11.7%), Affiliated (AMG +2.6%), Waddell & Reed (WDR +2.7%), Virtus Investment (VRTS +3.7%), and Legg Mason (LM +2.3%).
    • Many of these names have reported Q3 already, and the results have mostly disappointed. On tap for tomorrow is Och-Ziff.
    | Nov. 2, 2015, 3:14 PM | 10 Comments
  • Oct. 28, 2015, 9:12 AM
    | Oct. 28, 2015, 9:12 AM
  • Oct. 28, 2015, 7:38 AM
    • Q3 economic net loss of $286M or $0.37 per unit vs. a profit of $508.7M or $0.50 one year ago. Distributable earnings of $349.1M or $0.35 per unit vs. $504.8M and $0.45.
    • The company moves to a fixed distribution policy, with the payout to be $0.16 per quarter beginning for Q4 (Q3 payout is $0.35). This would be an annualized yield of 3.6%. Previous policy had KKR paying out 75-80% of distributable earnings.
    • As part of the new capital management strategy, a $500M buyback program is launched, good for about 6% of the float at last night's regular session close. It appears to be the first-ever buyback from a publicly-traded P-E firm.
    • Shares -6.1% premarket
    • Previously: KKR misses by $0.07, misses on revenue (Oct. 27)
    | Oct. 28, 2015, 7:38 AM | 8 Comments
  • Oct. 15, 2015, 10:29 AM
    • After a disappointing IPO which priced at the bottom of its expected $16-$17 range (which had been cut from $18-$20), First Data (NYSE:FDC) is at $15.75 in early action.
    • At $16 per share, First Data's market value is about $14B vs. the near-$30B KKR paid for it in 2007.
    • Nevertheless, the $2.56B raise is 2015's largest IPO.
    • Payment processing upstart/competitor Square filed for its own IPO yesterday.
    • Previously: First Data prices IPO at $16 (Oct. 14)
    • Previously: First Data reportedly cutting IPO price range (Oct. 14)
    | Oct. 15, 2015, 10:29 AM | 2 Comments
  • Aug. 14, 2015, 6:20 PM
    • KKR -6.1% AH after Dow Jones reports Samson Resources plans to file for chapter 11 bankruptcy by mid-September after finalizing a restructuring plan with key creditors today.
    • The move would wipe out the ~$4.1B investment of KKR and its partners, which led a $7.2B leveraged buyout of Samson in 2011 in the biggest-ever such deal for an oil and gas producer.
    • Samson, which is primarily a natural gas producer, has lost more than $4.5B since the buyout, including a $490M loss during Q1, the most recent period for which it has reported results.
    | Aug. 14, 2015, 6:20 PM | 14 Comments
  • Jul. 23, 2015, 8:21 AM
    • Q2 economic net income of $839.9M vs. $501.6M a year ago. ENI after taxes per share of $0.88 vs. $0.57.
    • Distributable earnings of $491.M or $0.42 per share vs. $701M and $0.67 one year ago.
    • AUM of $101.6B; Fee-paying AUM of $83.7B.
    • Private Markets segment revenue of $1B vs. $642.9M a year ago. Fair value of P-E portfolio up 7.4% for the quarter, up 11.8% in H1. ENI of $666.2M vs. $376.2M.
    • Public Markets segment revenue of $188.2M vs. $157.2M a year ago. ENI of $136.6M vs. $105.6M. Strong gains were seen across a number of the company's public holdings, including HCA which gained 21% for the quarter.
    • Conference call at 10 ET
    • KKR +1.7% premarket
    | Jul. 23, 2015, 8:21 AM
  • Jun. 15, 2015, 6:34 PM
    • Coty (NYSE:COTY) +7.5% AH after the NY Post reports it has acquired three beauty products and fragrance lines from Procter & Gamble (NYSE:PG) for as much as $12B combined.
    • The businesses are believed to include PG's Max Factor, CoverGirl and Wella hair care brands, and would catapult Coty into the big leagues in the consumer space.
    • Other bidders reportedly had included Henkel (OTCPK:HENKY) and P-E firms KKR, Clayton Dubilier & Rice and Warburg Pincus.
    | Jun. 15, 2015, 6:34 PM | 15 Comments
  • Feb. 10, 2015, 9:16 AM
    | Feb. 10, 2015, 9:16 AM
  • Feb. 10, 2015, 8:43 AM
    • Q4 economic net income of $86.6M down from $786.6M one year ago. ENI after taxes per unit of $0.05 vs. $1.04 a year ago.
    • Private Markets revenue fell to $283.4M in Q4 from $1.013.7B a year ago, mostly thanks to markdowns on the company's energy investments. The portfolio appreciated 2.7% during the Q, but energy holdings were marked to about $0.76 on the dollar vs. $1.14 at the end of Q3.
    • The dividend is cut to $0.35 per unit vs. a recent $0.45.
    • Conference call at 10 ET
    • Previously: KKR misses by $0.40, misses on revenue (Feb. 10)
    • KKR -4.9% premarket
    | Feb. 10, 2015, 8:43 AM | 3 Comments
Company Description
KKR & Co. LP provides investment and private equity asset management services. It operates business through three business segments: Private Markets, Public Markets and Capital Markets & Other. The Private Markets segment is comprised of the global private equity business, which manages and... More
Sector: Financial
Industry: Asset Management
Country: United States