Summary
KKR & Co. Inc. (KKR) filed an 8-K on April 21, 2020, reporting the completion of a debt offering by its indirect subsidiary, KKR Group Finance Co. VI LLC. The offering involved $250 million in aggregate principal amount of 3.750% Senior Notes due 2029. These new notes were issued under an existing indenture, increasing the total outstanding principal of this note series to $750 million, as they are treated as a single series with the previously issued $500 million in notes. These new notes are unsecured and unsubordinated obligations of the Issuer, guaranteed by KKR & Co. Inc. and KKR Group Partnership L.P. The proceeds from this offering will likely be used for general corporate purposes, although not explicitly stated in this filing. The issuance represents a strategic move to raise capital, potentially to fund new investments or manage existing liabilities, aligning with KKR's role as a major alternative asset manager. Investors should note the maturity date, interest rate, and covenants associated with these notes, as well as the redemption and change of control provisions.
Key Highlights
- 1KKR subsidiary, KKR Group Finance Co. VI LLC, issued $250 million of 3.750% Senior Notes due 2029.
- 2These notes are an add-on to an existing series, bringing the total outstanding principal for this note maturity to $750 million.
- 3The New Notes are unsecured and unsubordinated obligations of the issuer.
- 4KKR & Co. Inc. and KKR Group Partnership L.P. provide full and unconditional guarantees for the New Notes.
- 5The New Notes mature on July 1, 2029, with semi-annual interest payments commencing July 1, 2020.
- 6The indenture includes standard covenants, events of default, and provisions for redemption and repurchase upon a change of control.