By Scott Kanowsky
Investing.com -- KKR & Co LP (NYSE: KKR ) announced that it has taken a minority holding in WPP-backed (LON: WPP ) FGS Global, in a deal valuing the strategic advisory and financial communications firm at just under $1.43 billion.
Under the terms of the deal, WPP will remain the majority owner in FGS. KKR, meanwhile, will purchase the stake from Golden Gate Capital, a San Francisco-based private equity group.
FGS Global, which operates across 27 global offices, provides public relations services to over 1,600 clients. FGS was created over the past few years, beginning with a merger in 2020 of three firms controlled by advertising giant WPP: London-based Finsbury, Frankfurt-based Hering Schuppener and Washington, D.C.-based Glover Park Group. The combined group then purchased U.S. rival Sard Verbinnen a year later.
“Our investment in FGS is the latest example of our focus on proprietary, strategic partnership investments where we are providing long-term capital and a global network of resources to an entrepreneurial management team and alongside a world-class business," said KKR co-head of European private equity Philipp Freise in a statement.
The transaction is expected to close before the end of the third quarter this year.
Add Chart to Comment
We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
- Enrich the conversation
- Stay focused and on track. Only post material that’s relevant to the topic being discussed.
- Be respectful. Even negative opinions can be framed positively and diplomatically.
- Use standard writing style. Include punctuation and upper and lower cases.
- NOTE: Spam and/or promotional messages and links within a comment will be removed
- Avoid profanity, slander or personal attacks directed at an author or another user.
- Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
- Only English comments will be allowed.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.