KKR, a global investment firm, announced February 12 the final closing of KKR Global Impact Fund SCSp (KKR Global Impact), a US$1.3 billion fund dedicated to investment opportunities in companies whose core business models provide commercial solutions to an environmental or social challenge.
The fund is focused on identifying and investing behind opportunities across the Americas, Europe and Asia where financial performance and societal impact are intrinsically aligned. Specifically, the fund is focused on generating private equity risk-adjusted returns by investing in companies in the lower middle market that contribute measurable progress toward one or more of the United Nations Sustainable Development Goals (SDGs).
“The UN SDGS were developed to mobilize citizens, policymakers, technologists and investors to address global challenges. As investors, we have a significant role to play in building businesses that contribute to SDG solutions while also generating financial returns for our fund investors by doing so,” say Robert Antablin and Ken Mehlman, KKR partners and co-heads of KKR Global Impact.
In particular, KKR has identified the following macro themes where it believes KKR Global Impact can contribute meaningfully to helping achieve the SDGs: mitigating and adapting to climate change; protecting clean water; learning and workforce development; responsible waste management; leveraging technology to enhance safety, mobility and sustainability; serving globally conscious consumers healthier and more sustainable products and services; and upgrading declining industry and infrastructure.
The Fund received strong backing from a diverse group of new and existing global investors, including public pensions, family offices, high net worth individual investors and other institutional investors. KKR will be investing more than US$130 million of capital in the fund alongside these investors through the firm’s balance sheet and employee commitments.