Capital Group and KKR Unveil New Investment Solutions
Deal News | Apr 30, 2025 | Simpson Thacher & Bartlett
Capital Group and KKR have joined forces to launch two new interval funds: Capital Group KKR Core Plus+ and Capital Group KKR Multi-Sector+. These innovative funds offer a combination of public-private market exposure, with a targeted allocation of 60% to public fixed income and 40% to private credit in a strategy designed to cater to investor needs. Simpson Thacher & Bartlett LLP provides legal counsel to Capital Group in this strategic partnership. The funds aim to enhance liquidity, offering 10% quarterly liquidity at net asset value, thus surpassing the typical 5% offered by standalone alternatives.
Sectors
- Investment Management
- Legal Advisory
Geography
- United States – The companies involved, Capital Group, KKR, and Simpson Thacher & Bartlett LLP, are primarily based in the United States.
Industry
- Investment Management – The article discusses the creation and launch of investment funds, specifically focusing on private and public investment strategies.
- Legal Advisory – Simpson Thacher & Bartlett LLP provides legal advisory services for the partnership in the creation of new investment solutions.
Financials
- 60% public fixed income, 40% private credit – The asset allocation strategy for the new interval funds.
- 10% quarterly liquidity – Improved liquidity profile offered by the funds compared to typical standalone alternatives.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Capital Group | Target Company | Company | An investment management company partnering with KKR to launch public-private investment solutions. |
| KKR | Bidding Company | Company | A global investment firm partnering with Capital Group to create new investment funds. |
| Simpson Thacher & Bartlett LLP | Legal Advisor | Company | A law firm providing legal advisory services to Capital Group in the partnership with KKR. |