Beruflich Dokumente
Kultur Dokumente
Michael W. Michelson
Joseph Y. Bae
Johannes P. Huth
July 16, 2012
Note:
The figure cited above includes KKR Capstone and other individuals that also may provide services to other investment teams across KKR including in our international offices. KKR Capstone is owned and controlled by its senior management
and not KKR.
Simon Brown,
Member
Marc
Lipschultz,
Member
Jonathan
Smidt,
Member
Raj Agrawal,
Member
Financial Services
Sir Deryck
Maughan,
Member
Healthcare
Industrials
Media &
Communications
Tom Uger,
Jamie Greene, Pete Stavros,
Alex Navab,
Member
Member
Member, Co-Head Member
NA Private Equity
Retail
Mike Calbert,
Member
Technology
Adam
Clammer,
Member
David Kerko,
Member
Herald
Chen,
Member
John Bookout
Claire Farley
David Rockecharlie
Robert Antablin
Brandon Freiman
Ravi Gupta
Dash Lane
Frank Spelman
Ash Upadhyaya
Lilah Hume
Amanda Lee
Brian Niemczak
Preston Powell
Zohair Rashid
Alex Shih
Brian Telesmanich
Chris Harrington
Brian Hinkes
Vittal Kadapakkam
Amanda Lee
Anthony Lee
Zohair Rashid
Ali Satvat
Max Lin
Justin Sabet-Peyman
Scott Arnold
Felix Gernburd
Yasser Ghanchi
Zach Greenberg
Vishal Patel
Mahdi Yousif
Josh Weisenbeck
Brandon Brahm
Emily Goergen
Brian Hinkes
Alex Shih
Herald Chen
Webster Chua
Brandon Brahm
Samson Mesghena
Sunny Patel
Peter Sundheim
Nate Taylor
Adam Waglay
Scott Arnold
Felix Gernburd
Yasser Ghanchi
Eli Horton
Vishal Patel
Brandon Van
Buren
Brittany Bagley
Kenan Basha
Prabh Chandhoke
Zach Greenberg
Eli Horton
Brandon Van Buren
Harish Venkatesh
Mahdi Yousif
Marius Haas
Dean Nelson,
Member & Head
of KKR Capstone
AJ Brohinsky
Todd Cooper
Adam Fless
Chris Hsu
Craig Kessler
Thomas Kim
Matt King
Vini Letteri
Andrew
Low Ah Kee
Kyle Matter
Karr Narula
Paolo
Notarnicola
Brian O'Neill
Ivo
Parashkevov
Rushi Patel
Derick Prelle
Steven
Schepps
Matthew
Skaruppa
Jon Winny
Charlie Young
Scott Wagner,
Member
9 senior operating professionals who have been at KKR Capstone for more than 7 years on
average
KKR Capstone is owned and controlled by its senior management and not KKR. The individuals above also may provide services to other investment teams across KKR including in our international offices.
Craig Farr,
Member & Head
of KKR Capital
Markets
Akhil Bansal
Mark Basile
Douglas Brody
Richard Chand
James Connolly
Corey Flood
Peter Glaser
Gregory Guest
Philip Kim
Matthew Kretzman
Edward Law
Joshua Lederman
George Mueller
Jeffrey Rowbottom
Chris Rulon-Miller
Neil Shah
Paul Sigfusson
Adam Smith
Cade Thompson
Note:
Acquisition
Financing
Debt Underwriting
IPOs
Follow-Ons
KKR Capital Markets is a broker-dealer registered with the U.S. Securities and Exchange Commission, a member of FINRA and a member of SIPC. The individuals above also may provide services to other investment teams across KKR including in our international offices. The portfolio companies
identified above represent the four most recent North America private equity investments where KKR Capital Markets was engaged in each transaction type. At the time of investment, and currently from a KKR monitoring standpoint, Avago has been classified as a North American investment based on
a specific criteria met. However, given Avago has significant operations in Asia, Avago is also included in the Asian portfolio slides. The specific portfolio companies identified are not representative of all of the portfolio companies purchased, sold or recommended for KKR Funds, and it should not be
assumed that the investments identified were or will be profitable.
Note:
Michael D. Capellas
David Cote
Lewis M. Eisenberg
Former Chairman Port Authority of New York and New Jersey and former General Partner and
Co-Head of Equity Division at Goldman Sachs & Company
Former Chairman and CEO of Motorola, Inc. and Eastman Kodak Company
Joe W. Forehand
Kenneth W. Freeman
Allen Questrom Professor and Dean of the School of Management at Boston University and
former Chairman and CEO of Quest Diagnostics Incorporated
R. Clint Johnstone
John Mack
Paul J. Norris
James W. Owens
Lee Raymond
Arun Sarin
Richard Sarnoff
The individuals above also may provide services to other investment teams across KKR including in our international offices.
Ken Mehlman,
Member & Head
of Public Affairs
Note:
Travers Garvin
Jennifer Hanley
Kristi Huller
Elizabeth Seeger
Bryan Bridges
Jenny Farrelly
Jill Henderlight
Alexandra Hartman
The individuals above also may provide services to other investment teams across KKR including in our international offices.
Henry McVey,
Managing
Director & Head
of Global Macro
and Asset
Allocation
Note:
The individuals above also may provide services to other investment teams across KKR including in our international offices.
34 Portfolio
Companies*
26 Portfolio
Companies
25 Portfolio
Companies
134
97
56
2005
(1)
(2)
*
2007
Today
(2)
Related Executives including KKR Capstone, KKR Capital Markets, a broker-dealer registered with the U.S. Securities and Exchange Commission, a member of FINRA and a member of SIPC, North American Senior Advisors, Global Macro and
Asset Allocation, and Public Affairs & Communications. These individuals also may provide services to other investment teams across KKR including in our international offices.
As of June 2012.
Includes Aricent and Avago. At the time of investment and currently from a KKR monitoring standpoint, Aricent and Avago are classified as North American investments based on specific criteria; given the companies however have significant
operations in Asia, we also include the companies in our Asian private equity portfolio.
10
Suzanne
Donohoe,
Member & Head
of Client &
Partner Group
Ari Barkan
Jacqueline Barrett
Conway Bate
James Burns
Ryan Carlson
Janice Cook
Roberts
Monica Davis
Kate De Mul
Ralph
DeBernardo
Christina Fang
Nicole Fay
Saleena Goel
Annette
Guarnaccio
Henry Hager
Beth Hammond
Tony Hass
Katie Hotze
JB Kiley
Amy Lesch
John Massad
Daniel McLaughlin
Rick Moreno
John Morrison
Sean Nelson
Lesley Nurse
Zachary Pack
Daniel Parant
Jessica Polkow
Jeffrey Schachter
Jessica Siebel
Amy Stuart
Wilson Tong
Mariko Uyeda
Lynette
Vanderwarker
Alisa Wood
Tiffany Yu
Note:
The individuals above also may provide services to other investment teams across KKR including in our international offices.
11
Portfolio Management
Extensive understanding
Strong networks
Public Affairs
Active management of
responsibilities to stakeholders
Senior Advisors
Network of senior executives
that work with KKR and KKR
portfolio companies
Global
Resources
Drive
Value
KKR Capstone
100-Day Plans
Active value creation
Note:
(1)
Past performance is no guarantee of future results. See Important Information about the calculation of returns.
Includes investments made during the period.
13
Note:
(1)
The specific companies identified are not representative of all of the companies in KKRs current or historical North American private equity portfolio, and it should not be assumed that an investment in the companies identified was or will be profitable. At the time of investment and currently
from a KKR monitoring standpoint, Aricent and Avago are classified as North American investments based on specific criteria; given the companies, however, have significant operations in Asia, we also include the companies in our Asian private equity portfolio.
As of June 2012. Reflects e2020 and Learning House, two investments of the Weld North platform. In May 2012, KKR announced its exit of the investment in Legg Mason. In June 2012, KKR closed its sale of the investment in El Paso Midstream.
14
Millennium Fund
2006 Fund
Recycling
1.7%
Media
22.0%
Transportation
0.2%
Telecom
0.2%
Retail
8.3%
Manufacturing
7.8%
Technology
12.7%
Hotels/Leisure
3.6%
Education
4.0%
Energy
13.8%
Technology
4.5%
Financial
Services
15.9%
Telecom
1.2%
Chemicals
3.0%
Health Care
18.5%
Energy
16.3%
Note:
Consumer
Products
2.9%
Consumer
Products
4.9%
Retail
31.3%
Health Care
18.5%
Media
3.9%
Manufacturing
4.8%
Pie chart above represents total value (i.e. realized value + unrealized value) of the Millennium Fund by industry.
15
10.0%
KKR PE C omposite
Gross IRR
25.9%
KKR PE Composite
Outperformance
(On Net Return)
KKR PE C omposite
Net IRR
19.4%
S&P 500
12.1%
Russell 3000
11.7%
S&P 500
7.3%
Russell 3000
7.7%
5.0%
0.0%
Note:
Past performance is no guarantee of future results. See Important Information about the calculation of IRRs and MOIC and the use of market indices as benchmarks. KKRs North American private equity funds include: KKR 1976, 1980, 1982,
1984, 1986, 1987, 1993, 1996, Millennium and 2006. Vintage years for these funds are 1977, 1980, 1983, 1984, 1986, 1987, 1993, 1997, 2002 and 2006, respectively.
16
Note:
(1)
(2)
Data represents North America based private equity deal flow for the period 1/1/11 to 3/31/12; includes a small number of opportunities related to existing KKR portfolio companies.
Most investments are presented to the Investment Committee numerous times throughout the diligence process, however this count includes each unique investment opportunity once and does not include subsequent presentations.
Includes transactions/commitments closed or announced for the period 1/1/11 to 3/31/12 (Weld North, Del Monte, Accelerated Oil Technologies, Capsugel, Ipreo, Academy Sports + Outdoors, Go Daddy, Santander Consumer USA, Samson
Resources and Capital Safety).
17
Auction
22%
Proprietary
22%
Limited Process
56%
Note:
Data represents North America based private equity investments/commitments announced and/or completed for the period 1/1/11 to 3/31/12 (Accelerated Oil Technologies, Weld North, Capsugel, Academy Sports + Outdoors, Ipreo, Go
Daddy, Samson Resources, Santander Consumer USA and Capital Safety). Del Monte, which closed in February 2011, is a KKR-identified opportunity and is not included above.
18
2012
2011
Investment(1)
Note:
(1)
(2)
Type of Deal
EV/EBITDA
Multiple at
Acquisition
Leverage
Multiple at
Acquisition
$81mm
Limited Process
Partnership
N/A
N/A
$536mm
LBO
8.6x
6.1x
$467mm
Auction LBO
11.3x
6.3x
$194mm
Auction LBO
12.0x
6.3x
$437mm
Limited Process
LBO
10.8x
6.2x
$282mm
11.1x
6.1x
$100mm(2)
Proprietary Build-Up
N/M
N/M
$209mm
Proprietary
Minority Investment
5.2x
N/M
$751mm
7.9x
3.6x
$362mm
11.1x
5.7x
All information as of March 31, 2012, unless otherwise noted. Past performance is no guarantee of future results.
The specific companies identified are not representative of all of the companies in KKRs current or historical North American private equity portfolio, and it should not be assumed that an investment in the identified companies was or will be
profitable. The identified companies are those that are currently owned by a KKR-sponsored North America focused private equity fund and monitored by KKR private equity professionals located in North America.
Represents two investments, e2020 and Learning House, made by the previously announced formation of Weld North Holdings, LLC, a platform created in 2009 to acquire, invest in and operate a variety of businesses in the consumer services,
education, media, personal services and marketing sectors. KKR has committed to invest up to $315 million.
19
The portfolio companies identified above represent North America private equity investments made since January 1, 2011. The specific portfolio companies identified are not representative of all of the portfolio companies purchased, sold or recommended for KKR Funds, and it should not be assumed
that the investments identified were or will be profitable.
20
Distributions
($mm)
($mm)
Academy Sports
AOT
Capsugel
Del Monte Foods
Go Daddy
Ipreo Holdings LLC
MMI Holdings
Samson Resources
Santander Consumer
U.N Ro-Ro
Weld North
Yageo Corporation
2011
$437.4
80.9
467.3
535.7
281.8
194.1
4.4
750.6
209.3
2.3
99.9
1.5
$3,065.2
AOT
Capital Safety
$3,472.8mm
2012 YTD
$45.5
362.1
$407.6
Avago
BW Holdings
Dollar General
DSD
HCA
Hilcorp Resources
Hotel del Coronado
Legrand
Maxeda
Modern Dairy
NXP
Primedia
Rockwood Holdings
Seven Media Group
Tarkett
TDC A/S
Texas Crude
Tianrui
Zhone
2011
$237.6
$46.4
798.0
13.8
349.4
527.8
13.8
514.0
68.3
7.8
67.8
183.9
559.8
319.2
10.3
32.0
34.6
8.5
4.4
$3,797.4
Dollar General
DSD
HCA
Jazz
Legg Mason
Legrand
Nielsen
SCUSA
Tianrui
El Paso
Pending (Estimated)
Alliance Boots
2012 YTD
$1,129.3
5.6
137.5
147.6
665.2
111.9
132.7
24.4
3.4
186.9
$2,544.5
$1,094.9
$1,094.9
$3,639.4
$7,436.8mm
Note:
Data as of June 28, 2012. Excludes unfunded commitments to Weld North and Accelerated Oil Technologies. Alliance Boots distribution (announced June 2012) pending (estimate provided).
21
$52.3
$44.0
$28.4
$9.7
$11.4
$17.5
$11.8
$10.9
$10.2
2013
2014
$3.1
2009-10
2011
2012
2013
2014
2015+
2012
2015
2016+
22
1) Digitalization
2) Demographic Shifts
Health / Wellness
Big Data
3) Bimodal Consumption
4) Budget Austerity
5) Housing Market
6) Inflation
7) Scarce Resources
Unless indicated, the above reflects the current market views, opinions and expectations of KKR based on its historic experience. Historic market trends are not reliable indicators of actual future market behavior or future performance of any
particular investment or any KKR fund, vehicle or account which, may differ materially, and are not to be relied upon as such. There can be no assurance that investors in any KKR fund, vehicle or account will receive a return of capital.
23
Inflation
Housing
Market
Budget
Austerity
Bimodal
Consumption
Demographic
Shift
Digitalization
Consumer
Energy
Financial Services
Healthcare
Industrials
24
PE Industry Teams
Bimodal Consumption
Energy
Unconventionals
Financial Services
Differentiated Distribution
Underbanked Non-Prime
Healthcare
Insulated Sectors
Low Valuations
Industrials
Corp Carve-outs
Digital Transition
Emerging Platforms
High ROI/Measurable
Retail
Value
Hispanization
eCommerce
Technology
Big Data
Cloud Computing
Mobility
25
Near-Term
Outlook
Long-Term
Outlook
Valuation
Actionability
Consumer
Energy
Financials
Health Care
Industrials
Media
Retail
Technology
Note: Projections May Not Materialize. The information in this presentation may contain projections or other forward-looking statements regarding future events, targets, or expectations regarding the Funds or strategies, and is only current as of
June 2012. There is no assurance that such events or targets will be achieved, and may be significantly different than that shown here. The information in this presentation, including statements concerning financial market trends, is based on
current market conditions, which will fluctuate and may be superseded by subsequent market events or for other reasons.
26
Note:
Unless indicated, the above reflects the current market views, opinions and expectations of KKR based on its historic experience. Historic market trends are not reliable indicators of actual future market behavior or future performance of any
particular investment or any KKR fund, vehicle or account which, may differ materially, and are not to be relied upon as such. There can be no assurance that investors in any KKR fund, vehicle or account will receive a return of capital.
27
Unless indicated, the above reflects the current market views, opinions and expectations of KKR based on its historic experience. Historic market trends are not reliable indicators of actual future market behavior or future performance of any
particular investment or any KKR fund, vehicle or account which, may differ materially, and are not to be relied upon as such. There can be no assurance that investors in any KKR fund, vehicle or account will receive a return of capital.
28