FT Alphaville » kkr

Vultures circle GHG as restructuring looms

Kate Mackenzie — Mon, 16 Jan 2012 04:59:36 +0000

Distressed debt investors are circling General Healthcare Group, the FT says, in expectation that the UK’s largest private hospital operator by revenue will be forced to restructure its heavily indebted financial set-up. The special situations arm of KKR is one of the funds that has bought some of the hospital company’s debts, the newspaper says, citing people familiar with the matter. KKR declined to comment. GHG operates 70 hospitals and treatment centres across the country and employs 15,000 people. But the company was straddled with £1.9bn of gross debt in the 2006 acquisition by Netcare, the South African healthcare group; Apax Partners, the private equity investor; and two property investors.

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Private equity edges to Yahoo deal

Joseph Cotterill — Fri, 11 Nov 2011 10:43:31 +0000

Private equity groups including TPG Capital and KKR may buy up minority stakes of up to 20 per cent in Yahoo, preparatory to a full acquisition of the company later on, Reuters reports. The new move follows non-disclosure deals with Yahoo and talks with its co-founders, who control almost 10 per cent. Other private equity firms have not signed the confidentiality agreements in order to avoid cramping their ability to enter into consortium deals with other outside bidders, including Alibaba Group of China.

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KKR in talks over buying Samson Investment

Kate Mackenzie — Wed, 02 Nov 2011 05:49:02 +0000

Kohlberg Kravis Roberts is in exclusive talks to buy some or all of the Samson Investment Company, a family-owned oil and gas exploration company, NYT DealBook says. Citing a person briefed on the matter, the report says the private equity group has been studying a possible Samson transaction for some time and has been lining up financing with several banks, adding that talks could still fall apart. Such a deal would be one of the largest leveraged buyouts since the financial crisis of September of 2008.

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Brinkmanship over EMI as Blavatnik walks away

Kate Mackenzie — Mon, 31 Oct 2011 02:00:17 +0000

Len Blavatnik, whose Access Industries group bought Warner Music earlier this year, has walked away from the $3bn-$4bn auction for EMI, the FT reports, citing people close to the negotiations. Mr Blavatnik’s offer of about $1.5bn for EMI’s recorded music division remained below the price at which Citigroup was prepared to sell the asset it seized in February from Terra Firma, these people said. However, they did not rule out Mr Blavatnik returning to the table, as he did after a similar threat three weeks ago, adding that it may not be clear for two weeks or more whether Citigroup will settle for offers below initial hopes or retain EMI for at least another year. These people also said Citigroup’s negotiations over EMI Music Publishing appeared to have made more progress, with an offer of about $2bn from BMG, the joint venture between Bertelsmann and KKR, beating a bid from a Sony-led group which was still working to secure financing from sovereign wealth funds and elsewhere.

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KKR expansion bets on China slowdown

Joseph Cotterill — Fri, 21 Oct 2011 09:11:01 +0000

Kohlberg Kravis Roberts is set to expand into Hong Kong in an early bet by the private equity group on a slowdown in the Chinese economy, the FT reports. KKR will send in its $2bn special situations unit in the next six to nine months, in order to spot opportunities in distressed and indebted Chinese companies. “There will be opportunities in China, especially in the property company sector,” Wilbur Ross, head of WL Ross, told the FT. “There’s a huge amount of property company bonds already trading at 20-30 per cent yields. I don’t think China will blow up, but some of the companies there will.”

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KKR and BlackRock eye Axa Private Equity

Kate Mackenzie — Fri, 30 Sep 2011 04:07:05 +0000

Kohlberg Kravis Roberts and BlackRock have expressed interest in buying Axa Private Equity, the French alternative asset manager that has been put up for sale by Axa, the French insurer, the FT says, citing people close to the situation. The two US asset managers are among a handful of potential bidders that have been asked to submit first-round offers for the private equity group early next week. The private equity group’s management and Axa, its parent company, have preselected potential bidders in the past few weeks, they added. Dominique Senequier, the well respected French manager who started Axa Private Equity 15 years ago, is seen as the linchpin for any deal.

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CICC to manage trust company

Kate Mackenzie — Mon, 25 Jul 2011 03:49:00 +0000

China International Capital Corp will become the country’s first investment bank to manage a trust company, the FT says, with a new venture likely to launch later this week, according to a person familar with the matter. The move by CICC underscores how China’s little-understood trust sector has become one of the fastest growing parts of its financial system and a source of innovation lacking in traditional banks. CICC will take a 35 per cent stake in Zheshang Trust, based in the wealthy eastern city of Hangzhou. Although the majority will be held by an arm of the Zhejiang provincial government, CICC, which is partly owned by US private equity groups TPG Capital and KKR, will have primary responsibility for management.

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Ex-Goldman banker to advise TPG

Kate Mackenzie — Wed, 06 Jul 2011 04:14:43 +0000

Jon Winkelried, former co-president of Goldman Sachs, has signed on as an adviser to a new credit fund being raised by buy-out firm TPG, according to marketing materials reviewed by the FT. The TPG Specialty Lending Fund represents the latest attempt by private equity firms including TPG, KKR, Apollo and GSO, the credit arm of Blackstone, to fill a void in middle-market business lending created by the financial crisis. Mr Winkelried has been out of the spotlight since his surprise departure from Goldman in 2009. TPG has recruited other executives from middle-market lending, such as Michael Fishman, formerly of Wells Fargo, who serves as chief executive and president of the venture. The TPG fund plans to raise $750m initially, with $50m coming from TPG.

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Taiwan blocks KKR-backed Yageo deal

John McDermott — Wed, 22 Jun 2011 17:12:42 +0000

The Taiwanese government has blocked a plan by Kohlberg Kravis Roberts and the chairman of Taiwan’s Yageo Corporation to take the electronic components manufacturer private in what would have been Asia’s biggest private equity deal this year, says the FT. Wednesday’s rejection is a blow to Taiwan’s reputation as a destination for foreign investment, coming after a string of similar rejections or delays imposed by the government on large cross-border mergers and acquisition deals. The most notable example was AIG’s two-year attempt to sell Nan Shan, its Taiwan subsidiary, which is only now nearing completion.

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KKR and TPG back off Nokia Siemens bid

Kate Mackenzie — Fri, 10 Jun 2011 04:44:46 +0000

KKR and TPG have backed away from bidding for a majority stake in Nokia Siemens Networks, leaving only one interested consortium in what has a slow and cumbersome sale process for the ailing telecoms equipment company. Several people close to the situation told the FT that the US groups dropped out after failing to agree both on price and the level of control over the company that could be worth several billion dollars. Their withdrawal comes amid growing uncertainty over the unit’s part-owner, Nokia. Chief executive Stephen Elop rejected as baseless rumours claims that the company’s plunging value has made it a takeover target.

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