KKR Credit - Special Situation

Hello everyone,

Does anyone know anything about KKR's Special Situation Group under its credit division? It seems like there is very limited information about this group on here. My understanding is that it's ~ 9B AUM with most of the people in NY, SF, and London. It focuses on rescue financing, distressed for control and opportunistic investments.

I'd be interested in learning more about its performance, the quality of people, and other specifics about its strategy and investment criteria.

Thanks!

7 Comments
 

It's a great group. You can check their fund performance in KKR's 10k. Their special sits fund 1 has a 9.6% gross IRR since 2012. Credit is their fastest growing division in terms of AUM. Special sits group focuses on secondary market distressed debt investments, DIP financing, and rescue financing. They definitely leverage the KKR brand and network in deal sourcing, which is a big advantage compared to other firms.

 

Correct me if I'm wrong, but isn't it pointless to measure the success of the fund that has only started in 2012 by its IRR numbers? They probably didn't even have had time to realise returns on their investments. Or is that different for credit funds?

 

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