KKR’s $2.6 Billion Acquisition of KKR Financial Holdings

On December 16, 2013, KKR & Co. L.P. (“KKR”) and KKR Financial Holdings LLC (“KFN”) announced the signing of a definitive merger agreement under which KKR will acquire KFN through a stock‑for‑stock merger that values KFN at US$2.6 billion. Cravath represented the independent directors of KKR in connection with this transaction. The transaction is subject to approval by KFN’s shareholders, as well as customary regulatory approvals and other customary closing conditions. Upon closing of the transaction, which is expected in the first half of 2014, KFN will become a subsidiary of KKR.

The Cravath team included partner Faiza J. Saeed and associate Ting S. Chen on corporate matters. Jennifer Uren also worked on this matter.