KKR's first core private equity bet just proved itself by ending.
Aon is paying $17 billion for USI, and KKR is calling the exit proof that its long-term holding vehicle compounds. Nine years, ninety acquisitions and two very different return numbers tell a slightly different story.
Aon will pay $17 billion in cash for USI Insurance Services, KKR said on Monday, generating roughly $3.3 billion of after-tax proceeds and about $2.0 billion of adjusted net income, or over $2.00 a share. KKR and CDPQ bought USI from Onex in 2017 at a valuation of about $4.3 billion. Nine years on, the firm is presenting the sale as evidence that holding things for a long time works.
