FS KKR Capital Corp. has closed its previously announced $150 million issuance of cumulative convertible perpetual preferred stock, purchased by KKR Alternative Assets L.P., a subsidiary of KKR. The preferred stock pays dividends of 5.00% per annum in cash, or 7.00% per annum in PIK dividends at the company's option, with the rate increasing annually by 1.00% after 5.5 years. The initial conversion price is $18.83 per share, equal to the company's net asset value per share as of March 31, 2026, and the preferred stock ranks junior to all existing indebtedness but senior to common stock. Proceeds will be used for general corporate purposes, including funding the common stock repurchase program or debt repayment.
FS KKR Capital CorpClosed $150M preferred stock issuance, providing capital for buybacks or debt repayment.
KKR & Co. Inc.KKR subsidiary purchased the preferred stock, generating investment income.
Purchased $150M preferred stock as an investment.