
KKR Raises $6.5 Billion for Private Asset-Backed Finance Deals
The firm raised $5.6 billion for its Asset-Based Finance Partners II fund and almost $1 billion from separately managed accounts, according to a statement Wednesday.

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
an hour ago
- Yahoo
KKR Drops $3B Bomb on Flexera -- Dividend, Debt, and a Power Play in Private Credit
KKR (NYSE:KKR) is stepping in with a heavyweight $3 billion private credit deal to help Thoma Bravo-owned Flexera Software clean up its capital stackand send some cash back to shareholders. The package includes a $2.03 billion term loan, a 590 million ($689 million) euro tranche, and a $150 million revolver. Sources say KKR's credit division is anchoring the deal, alongside Ares, Blackstone, Golub, HPS, and even Thoma Bravo's own credit arm. The loans are priced at 4.75 percentage points over respective benchmarksa premium in today's market, but possibly worth it for the flexibility on offer. Warning! GuruFocus has detected 8 Warning Signs with KKR. High Yield Dividend Stocks in Gurus' Portfolio This Powerful Chart Made Peter Lynch 29% A Year For 13 Years How to calculate the intrinsic value of a stock? The big draw? Leverage. Private credit shops are dangling higher debt limits to keep deals from drifting back to traditional banks, where rates might be better but strings are often tighter. In Flexera's case, the new capital refinances a $1.95 billion syndicated loan due in 2028and adds nearly $1 billion of incremental debt, according to Bloomberg. That gives Flexera room to maneuver, whether that means strategic M&A or simply writing a dividend check to its sponsor. This isn't a one-off for Thoma Bravo. Back in April, it tapped direct lenders for $4 billion to back its Jeppesen buyout from Boeing. The firm seems to be leaning into the private credit playbook: speed, certainty, and structure over price. In a market where banks are fighting to claw back market share, this Flexera deal could be a signal that for some sponsors, the extra leverage and control are still worth the premium. This article first appeared on GuruFocus.
Yahoo
an hour ago
- Yahoo
Wall Street Pros See Stocks Ignoring ‘Transitory' Inflation Rise
(Bloomberg) -- Economists expect the latest data on consumer prices to show an uptick in inflation, but Wall Street pros aren't concerned that it'll derail the latest stock market rally. The inflationary impact of President Donald Trump's sweeping global tariffs is projected to start appearing in the latest US consumer price index figures, which will be released before trading begins on Tuesday. Still, Wall Street firms including JPMorgan Chase & Co. and Morgan Stanley expect investors to shrug off those concerns and keep equity prices soaring by focusing on strong corporate earnings and interest-rate cuts. Sunseeking Germans Face Swiss Backlash Over Alpine Holiday Congestion New York Warns of $34 Billion Budget Hole, Biggest Since 2009 Crisis To Head Off Severe Storm Surges, Nova Scotia Invests in 'Living Shorelines' Chicago Schools' Bond Penalty Widens as $734 Million Gap Looms A New Stage for the Theater That Gave America Shakespeare in the Park Macroeconomic data remains 'supportive of the bull case, with earnings likely to maintain their positive trend,' Andrew Tyler, head of global market intelligence at JPMorgan, wrote in a note to clients Monday, adding that the Federal Reserve is headed toward cutting interest rates. Any potential increase in inflation is likely to be transitory, according to Tyler, and with a peak that will probably be lower than expected. In fact, his team placed the odds of further gains in the S&P 500 at 70% following Tuesday's CPI reading, predicting the gauge can advance as much as 2% if the data is either in-line or cooler than estimated. The primary risk for a pullback is a seasonal, Tyler wrote, as the S&P 500 Index has fallen an average of 1.5% in September over the past 25 years — only to be followed by a 4% gain in the fourth quarter. The core CPI, which removes volatile food and energy costs and is considered a reliable measure of underlying inflation, is projected to show a rise of 0.3% in July from June, according to the median estimate in a Bloomberg survey of economists. That would mark the biggest increase since the start of the year — it edged up 0.2% in June. Yet, options traders are mostly unfazed heading into the report, pricing a move of about 0.74% in either direction for the S&P 500 Index, compared with a 12-month average implied move of nearly 1%, according to data from Citigroup Inc.'s trading desk. The S&P 500 is trading near an all-time high ahead of Tuesday's data release after soaring 28% from April's lows and setting 10 new records in the month of July alone. The outsized moves are notable since investors have little idea how the Trump administration's trade plans will affect the economy. But the market isn't necessarily reading bad news as bad news these days. For example, recent employment data showed a substantial slowdown in the job market, prompting Trump to fire the head of the Bureau of Labor Statistics and accuse her without evidence of political bias. Wall Street shrugged it all off, focusing instead on how the figures supported an interest-rate cut by the Fed. And that seems to have been enough to keep stocks climbing, even though the numbers point to the possibility of stagflation, where prices increase but growth doesn't. 'Due to the soft July employment report, investors have greater confidence in Fed easing resuming next month,' said Michael O'Rourke, chief market strategist at JonesTrading LLC. 'That is taking precedence over the anticipated inflation uptick.' Three Fed officials — Vice Chair Michelle Bowman, Governor Christopher Waller and Minneapolis Fed President Neel Kashkari — all voiced concerns about the US labor market last week and pointed to a potential rate reduction in September. Morgan Stanley's chief US equity strategist Mike Wilson is also counting on a substantial rate-cutting cycle to set the stage for fresh stock market gains into next year, even if there are some blips in the near term. 'Ultimately, our house view is for tariff-induced inflation to subside later this year, paving the way for a significant rate cutting cycle,' Wilson told clients in his weekly commentary Monday. 'This is supportive of our constructive longer-term outlook for US stocks.' --With assistance from Sagarika Jaisinghani. Why It's Actually a Good Time to Buy a House, According to a Zillow Economist Bessent on Tariffs, Deficits and Embracing Trump's Economic Plan The Social Media Trend Machine Is Spitting Out Weirder and Weirder Results Klarna Cashed In on 'Buy Now, Pay Later.' Now It Wants to Be a Bank The Game Starts at 8. The Robbery Starts at 8:01 ©2025 Bloomberg L.P.


Bloomberg
4 hours ago
- Bloomberg
KKR Leads $3 Billion Private Debt Deal for Thoma Bravo's Flexera
KKR & Co. is leading a private credit package of around $3 billion for Thoma Bravo -owned Flexera Software to refinance the company's existing broadly syndicated debt and pay out a dividend, according to people with knowledge of the matter. KKR's credit arm is providing the largest portion of the financing, with others including Ares Management Corp., Blackstone Inc., Golub Capital, HPS Investment Partners and Thoma Bravo's own credit business also participating, said the people, who asked not to be identified discussing private information.