What is the primary purpose of this debt offering?

The primary purpose of this debt offering is to raise capital for KKR's general corporate purposes, with a specific intention to fund potential acquisitions and investments in Europe. This signals a strategic initiative to expand the company's European market presence.

Who is guaranteeing these senior notes?

The 1.625% Senior Notes due 2029 are fully and unconditionally guaranteed by KKR & Co. Inc., KKR Management Holdings L.P., KKR Fund Holdings L.P., and KKR International Holdings L.P. This provides a strong credit backing for the notes.

How were these notes offered, and are they available to all investors?

The notes were offered pursuant to Rule 144A and Regulation S. This means they were offered to qualified institutional buyers in the United States and to non-U.S. persons outside the United States. The notes have not been registered under the U.S. Securities Act of 1933 and may not be offered or sold in the U.S. without registration or an applicable exemption.

Does this debt issuance impact KKR's financial leverage?

This debt issuance will increase KKR's total debt. Investors should review KKR's subsequent financial statements and filings to understand the full impact on leverage ratios and overall capital structure. The use of proceeds for growth initiatives may be viewed positively if these investments generate strong returns.

KKR & Co. Inc. 8-K: Regulation FD

Summary

KKR & Co. Inc. announced on May 15, 2019, that its indirect subsidiary, KKR Group Finance Co. V LLC, has priced an offering of €650,000,000 aggregate principal amount of 1.625% Senior Notes due 2029. These notes will be fully and unconditionally guaranteed by KKR & Co. Inc. and other key KKR entities. The proceeds are intended for general corporate purposes, including potential acquisitions and investments within Europe. This move indicates KKR's strategic focus on expanding its European presence and utilizing debt financing to support growth initiatives. The offering was made pursuant to Rule 144A and Regulation S, meaning it was available to qualified institutional buyers and non-U.S. persons, and the notes are not registered in the U.S. unless an exemption applies. Investors should note that this information is furnished under Regulation FD and is not considered 'filed' for legal purposes unless specifically referenced in other filings. The press release detailing this pricing is attached as Exhibit 99.1.

Key Highlights

1KKR subsidiary priced a €650 million senior notes offering due 2029.
2The notes carry a coupon rate of 1.625%.
3KKR & Co. Inc. and other key entities are providing full guarantees for the notes.
4Proceeds will be used for general corporate purposes, including European acquisitions and investments.
5The offering was made to qualified institutional buyers (Rule 144A) and non-U.S. persons (Regulation S).
6KKR is demonstrating a strategic focus on European growth opportunities.

KKR & Co. Inc. 8-K Report, Regulation FD Disclosure (May 15, 2019)

Summary

Key Highlights

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