KKR Bets Big On Education With Instructure Purchase For $4.8B
Portfolio Pulse from Lekha Gupta
KKR & Co. Inc. (NYSE:KKR) has agreed to acquire Instructure Holdings, Inc. (NYSE:INST) for $4.8 billion in an all-cash deal, representing a 16% premium over Instructure's unaffected share price. The transaction is expected to close later this year, after which Instructure will be delisted from the NYSE and become privately held. KKR's stock has gained around 92% in the last 12 months, and investors can gain exposure via FM Focus Equity ETF (NYSE:FMCX) and EA Series Trust WHITEWOLF Publicly Listed Private Equity ETF (BATS:LBO).
July 26, 2024 | 10:19 am
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POSITIVE IMPACT
FM Focus Equity ETF (NYSE:FMCX) provides exposure to KKR, which has announced a significant acquisition. This could positively impact the ETF's performance.
The ETF's performance could benefit from KKR's strategic acquisition, which is expected to positively impact KKR's stock price.
CONFIDENCE 80
IMPORTANCE 70
RELEVANCE 50
POSITIVE IMPACT
Instructure Holdings will be acquired by KKR for $23.60 per share, a 16% premium over its unaffected share price. The company will be delisted from the NYSE and become privately held.
The acquisition at a 16% premium is likely to result in a short-term increase in Instructure's stock price until the deal closes. The delisting will remove it from public trading.
CONFIDENCE 95
IMPORTANCE 90
RELEVANCE 100
POSITIVE IMPACT
KKR's acquisition of Instructure for $4.8 billion is a strategic move to expand its portfolio in the education technology sector. The deal is expected to close later this year, and KKR's stock has already gained 92% in the last 12 months.
The acquisition of Instructure is a significant strategic move for KKR, likely to positively impact its stock price in the short term. The 92% gain in the last 12 months indicates strong investor confidence.
CONFIDENCE 95
IMPORTANCE 90
RELEVANCE 100
POSITIVE IMPACT
EA Series Trust WHITEWOLF Publicly Listed Private Equity ETF (BATS:LBO) provides exposure to KKR, which has announced a significant acquisition. This could positively impact the ETF's performance.
The ETF's performance could benefit from KKR's strategic acquisition, which is expected to positively impact KKR's stock price.
CONFIDENCE 80
IMPORTANCE 70
RELEVANCE 50