KKR Closes $2.2 Billion Next-Gen Tech Growth Fund II
NEW YORK & LONDON–(BUSINESS WIRE)–KKR, a leading global investment firm, today announced the final closing of the KKR Next Generation Technology Growth Fund II (“NGT II” or the “Fund”), a $2.2 billion fund dedicated to technology growth equity investment opportunities in North America, Europe and Israel.
NGT II is the successor fund to the KKR Next Generation Technology Growth Fund (“NGT I”), KKR’s first dedicated global technology growth vehicle which completed its fundraising in December 2016. Similar to its predecessor, NGT II focuses on generating strong returns for investors by investing in high-growth, market-leading technology companies through a combination of majority or minority stakes. In particular, NGT II is expected to perform equity checks typically in excess of $50 million in thematically focused areas including enterprise software, security, internet/digital media, fintech and technology services and of data.
“When we initially decided to create a strategy dedicated to technology growth stocks over five years ago, we did so with the belief that we could offer a truly differentiated approach to the market by leveraging the platform and resources widest of KKR. Looking back at the companies we’ve helped scale since and the strong returns we’ve generated for our investors, we’re proud to continue to build on this momentum with NGT II. We look forward to investing in the many other opportunities we anticipate to partner with the best companies in the technology growth industry,” said Dave Welsh, KKR Partner and Head of Technology Growth Capital.
KKR has established a strong track record of supporting technology-driven growth companies, having invested over $2.7 billion in related investments since 2014 and having built a dedicated global team of 19 investment professionals with deep expertise in technology growth capital. In the past year alone, the company has executed a number of transactions under this strategy, including in KnowBe4 and OneStream.
For businesses, KKR prides itself on offering more than access to financial capital, but also a unique set of resources to tap into, including the company’s operational and industry expertise, deep network, global reach and knowledge. of its more than 100 current portfolio companies worldwide.
“With this fund closing at more than three times the size of its predecessor, we are delighted to see the strong support from new and existing investors around the world for our team, our commitment to this asset class and our differentiated approach in industry,” said Alisa Amarosa Wood, KKR Partner and Head of KKR’s Private Market Product Group.
The Fund has received strong support from a diverse group of new and existing global investors, including public pension plans, insurance companies, family offices, high net worth individual investors and other institutional investors. KKR will invest more than $265 million of capital in the Fund alongside these investors through the company’s balance sheet and employee commitments.
KKR is a leading global investment firm managing multiple alternative asset classes including private equity, energy, infrastructure, real estate and credit, with strategic partners managing hedge funds. KKR aims to generate attractive investment returns for its fund investors by following a patient and disciplined investment approach, employing world-class people, and driving growth and value creation with KKR’s portfolio companies. KKR invests its own capital alongside the capital it manages for fund investors and provides financing solutions and investment opportunities through its capital markets business. References to KKR’s investments may include the activities of its sponsored funds. For more information about KKR & Co. Inc. (NYSE:KKR), please visit KKR’s website at www.kkr.com and on Twitter @KKR_Co.