KKR Raises $4.6B for Debut North American Middle Market Fund

KKR completed its KKR Ascendant Fund SCSP raise at $4.6 billion. The fund, which reached its hard cap and was oversubscribed, represents KKR’s inaugural vehicle exclusively targeting middle-market opportunities in North America.

Launched in 2022 as part of KKR’s Americas Private Equity platform, the fund will target companies across seven industry verticals: consumer, financial services, healthcare, industrials, media, software and tech-enabled services.

“We wanted to launch a fund dedicated to this segment so that our investors could directly participate in the compelling outcomes we believe we can continue to deliver in the middle market,” said Pete Stavros and Nate Taylor, co-heads of KKR Global Private Equity.

KKR’s Ascendant strategy also promotes using employee stock ownership programs at every majority-owned company it invests in.

“Broad-based employee ownership and engagement programs are key to how KKR creates and maintains value across our portfolio companies. Having seen the great success of these programs in other areas of KKR’s portfolio, we are thrilled that Ascendant will build on that strong foundation,” said Nancy Ford and Brandon Brahm, co-heads of KKR’s Ascendant strategy

To date, Ascendant has invested in six North American companies including Alchemer, 123Dentist, Industrial Physics, Potter Global Technologies, Mdf Commerce and Marmic Fire & Safety.

KKR, which raised $23 billion in assets in the second quarter, invests in private equity, fixed income, and other companies in North America, Europe, Asia, and the Middle East. Founded in 1976, KKR has offices in 19 cities worldwide in addition to its headquarters in New York City.