Research

Market at a glance – KKR makes a pair of $4 bln deals

May 29 2017

U.S.-based buyout and mezzanine fundraising slowed over the past two weeks. Since Buyouts last went to press, the yearly total grew by $4.3 billion. Thus far in 2017, $97.3 billion has been raised, leading the same time last year by $31.3 billion, or 47.4 percent.

Vista Equity Partners made the final close on its sixth flagship at $11 billion. Fund VI is the largest the tech-focused firm has ever raised.

GoldPoint Partners, the New York Life affiliate, wrapped up its fourth mezzanine fund at $1.3 billion in commitments.

ACON Investments hit the hard cap for ACON Equity Partners IV, collecting nearly $1.1 billion.

Fundamental Advisors reached the finish with its oversubscribed third pool. Fundamental Partners III finished with $933 million over a $750 million target, and will invest in distressed assets in the municipal and public-purpose sector.

Deal-making kept churning at a high pace. The 2017 total grew by $8.8 billion, with nearly $8.5 billion coming from two deals struck by Kohlberg Kravis Roberts & Co. The yearly aggregate now sits at $75.7 billion, trailing 2016’s total by only $1 billion, or 1.4 percent.

The largest deal was for USI Insurance Services. KKR and Caisse de depot et placement du Quebec split the acquisition of the insurance brokerage for a total of $4.3 billion.

KKR also bought out the entire share capital of Calsonic Kansei for about $4.2 billion. Based in Japan, Calsonic Kansei manufactures and wholesales industrial machinery.