July 25 (Reuters) – Some value-attuned hedge-fund managers are dissecting KKR’s business in a way that makes it look undervalued, Barron’s reported in its July 26 edition.
The long-anticipated U.S. stock debut of Kohlberg Kravis Roberts & Co (KKR.N) had proved a disappointment in mid-July as investors shied away from the private equity firm that made its name with the leveraged buyout of RJR Nabisco in 1988. [ID:nN15209250]
KKR debuted at $10.50, and has traded lower from there, in part due to some apparent technical selling by investors unable to exit the stock when it was listed in Europe, the paper said. It closed Friday at $9.50.
The newspaper also urged investors to try valuing potential future performance fees on the $27 billion of deals housed in the company’s private-equity funds and those of deals not yet done and funds not yet raised. (Reporting by Dhanya Skariachan; Editing by Diane Craft)