What is the purpose of this new credit facility for KKR?

The new $3.00 billion unsecured revolving credit facility is for KKR's subsidiary, Global Atlantic, and its insurance company subsidiaries. The funds are intended to support their working capital needs, general corporate purposes, and fuel growth initiatives within these entities.

What is the maturity date and potential size of this credit facility?

The credit facility is scheduled to mature on January 15, 2027. It currently stands at $3.00 billion, but KKR has the option to increase this amount by an additional $500 million, subject to obtaining new or increased commitments from lenders, bringing the total potential facility size to $3.50 billion.

Are there any financial restrictions or covenants associated with this credit facility?

Yes, the Credit Agreement includes financial covenants. Global Atlantic and its consolidated subsidiaries must maintain a debt-to-total capitalization ratio of not greater than 35% and meet specific net worth requirements based on historical levels and post-December 31, 2023, net income.

How are interest rates and fees determined under this new facility?

Interest rates on borrowings will be based on either the Secured Overnight Financing Rate (SOFR) or an alternate base rate, each plus a margin. These margins, as well as commitment fees on unused portions of the facility, are determined by a corporate ratings-based grid, ranging from 1.10% to 1.375% for the SOFR margin and 0.10% to 0.375% for the alternate base rate margin. Commitment fees range from 0.125% to 0.225%.

KKR 8-K: Material Agreements & Financial Events

Summary

KKR & Co. Inc. (KKR) announced a significant update regarding its subsidiary, Global Atlantic, through a filing on January 16, 2026. The company has entered into a new Credit Agreement, establishing a $3.00 billion unsecured revolving credit facility for its insurance subsidiaries, Global Atlantic Limited (Delaware) and Global Atlantic (Fin) Company. This facility, which matures in January 2027, includes an option to increase the borrowing capacity by an additional $500 million, bringing the total potential to $3.50 billion, subject to lender commitments. The primary purpose of these funds is to support working capital, general corporate needs, and growth initiatives within the Credit Parties, which include Global Atlantic's insurance company subsidiaries. This new credit facility provides Global Atlantic with enhanced financial flexibility and access to capital. The terms include options for SOFR-based or alternate base rate borrowings, with margins and commitment fees that are tied to KKR's corporate credit ratings. The agreement also imposes financial covenants, such as a debt-to-total capitalization ratio not exceeding 35% and specific net worth maintenance requirements for GALD and its consolidated subsidiaries. These covenants, along with customary representations and negative covenants, are designed to ensure the financial stability of the borrower while providing lenders with standard protections, including event of default clauses that could lead to loan acceleration.

Key Highlights

1KKR's subsidiary, Global Atlantic, has secured a new $3.00 billion unsecured revolving credit facility.
2The facility has an accordion feature allowing for an increase of up to $500 million, potentially reaching $3.50 billion.
3The credit facility is a 364-day facility, maturing on January 15, 2027, with options for extension.
4Borrowings are designated for working capital, general corporate purposes, and growth initiatives of the Credit Parties.
5Interest rates are based on SOFR or an alternate base rate, plus a margin that varies with KKR's corporate credit ratings.
6The agreement includes financial covenants requiring Global Atlantic to maintain a debt-to-total capitalization ratio of not more than 35% and specific net worth levels.
7The Credit Facility is guaranteed by Global Atlantic Limited (Delaware) and Global Atlantic (Fin) Company.

KKR & Co. Inc. 8-K Report, Material Agreement (Jan 16, 2026)

Summary

Key Highlights

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