KKR Issues $625M Subordinated Notes Due 2061

TL;DR

KKR subsidiary dropped $625M in debt, due 2061. Long-term play.

AI Summary

On July 3, 2024, KKR & Co. Inc. entered into a material definitive agreement related to the issuance of subordinated notes. Specifically, KKR Group Finance Co. IX LLC, a subsidiary, issued $625 million of subordinated notes due in 2061. This action creates a direct financial obligation for the registrant.

Why It Matters

This issuance of long-term debt by a KKR subsidiary impacts the company's leverage and capital structure, potentially affecting future borrowing costs and financial flexibility.

Risk Assessment

Risk Level: medium — Issuing significant long-term debt increases financial leverage and obligations, which can be a medium-term risk depending on market conditions and the company's ability to service the debt.

Key Numbers

• $625M — Subordinated Notes Issued (KKR Group Finance Co. IX LLC issued these notes due in 2061.)

Key Players & Entities

• KKR & Co. Inc. (company) — Registrant
• KKR Group Finance Co. IX LLC (company) — Subsidiary issuing notes
• $625 million (dollar_amount) — Principal amount of subordinated notes
• 2061 (date) — Maturity year of subordinated notes
• July 3, 2024 (date) — Date of the event

FAQ

Key Financial Figures

• $2.75 b — y") in an aggregate principal amount of $2.75 billion, as of the closing date, with the
• $750 m — facility amount of up to an additional $750 million, for an aggregate principal amoun
• $3.50 b — n, for an aggregate principal amount of $3.50 billion, subject to certain conditions, i
• $150 billion — ovenant EBITDA and to maintain at least $150 billion in fee paying assets under management;

Filing Documents

• ef20032244_8k.htm (8-K) — 33KB
• 0001140361-24-032855.txt ( ) — 204KB
• kkr-20240703.xsd (EX-101.SCH) — 4KB
• kkr-20240703_def.xml (EX-101.DEF) — 17KB
• kkr-20240703_lab.xml (EX-101.LAB) — 26KB
• kkr-20240703_pre.xml (EX-101.PRE) — 19KB
• ef20032244_8k_htm.xml (XML) — 6KB

01

Item 1.01. Entry into a Material Definitive Agreement. The information set forth in Item 2.03 is hereby incorporated by reference into this Item 1.01.

02

Item 1.02. Termination of a Material Definitive Agreement. The information set forth in Item 2.03 is hereby incorporated by reference into this Item 1.02.

03

Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant. On July 3, 2024, KKR Group Partnership L.P. and Kohlberg Kravis Roberts & Co. L.P., indirect subsidiaries of KKR & Co. Inc. (collectively, the "Borrowers"), entered into a Third Amended and Restated Credit Agreement (the "Corporate Credit Agreement") by and among the Borrowers, the guarantors from time to time party thereto (together with the Borrowers, the "Loan Parties"), the lending institutions from time to time party thereto and HSBC Bank USA, National Association, as administrative agent (the "Administrative Agent"), which amends and restates in its entirety the Second Amended and Restated Credit Agreement, dated as of August 4, 2021 (as amended by the First Amendment and Lender Joinder Agreement, dated as of September 2, 2022), by and among the Loan Parties, the lending institutions from time to time party thereto and the Administrative Agent. The Corporate Credit Agreement provides the Borrowers with a senior unsecured multicurrency revolving credit facility (the "Corporate Credit Facility") in an aggregate principal amount of $2.75 billion, as of the closing date, with the option to request an increase in the facility amount of up to an additional $750 million, for an aggregate principal amount of $3.50 billion, subject to certain conditions, including obtaining new or increased commitments from new or existing lenders. The Corporate Credit Facility is a five-year facility, scheduled to mature on July 3, 2029, with the Borrowers' option to extend the maturity date, general corporate purposes and available in U.S. dollars and other currencies. Interest on borrowings in U.S. dollars under t

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. KKR & CO. INC. Date: July 10, 2024 By: /s/ Christopher Lee Name: Christopher Lee Title: Secretary

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View this 8-K filing on SEC EDGAR