KKR-backed SPAC raises $1.2 billion in U.S. IPO

KKR Acquisition Holdings I Corp, a blank-check firm backed by private equity firm KKR & Co Inc, said on Wednesday it had raised $1.2 billion in an upsized initial public offering.

The special purpose acquisition company (SPAC) said it sold 120 million units, up from the 100 million units it had marketed earlier, at $10 each.

KKR Acquisition Holdings I is led by Glenn Murphy, who is also the chairman of yoga apparel maker Lululemon Athletica Inc, and said it plans to merge with a company in the consumer or retail industries.

The units are expected to begin trading on the New York Stock Exchange under the symbol “KAHC.U” on Wednesday.

KKR is among several private equity firms including Warburg Pincus, Cerberus Capital and Reverence Capital which have joined the SPAC frenzy in recent months.

SPACs are companies listed on exchanges but with no business operations, except to find a private company to merge with.

Citigroup was the sole underwriter for the offering.

Source: Reuters

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