KKR’s Franks Exits as Head of UK and Ireland Private Equity

The head of KKR & Co.’s private equity business in the UK and Ireland has decided to leave the firm just months after it closed its latest European buyout fund.

(Bloomberg) — The head of KKR & Co.’s private equity business in the UK and Ireland has decided to leave the firm just months after it closed its latest European buyout fund.

Tim Franks, a partner who also ran KKR’s private equity consumer team in Europe, the Middle East and Africa, joined from rival Advent International in 2017. He was involved in deals including KKR’s investment in haircare brand Wella and acquisition of Unilever Plc’s margarine and spreads business.

Separately, Daan Knottenbelt, the head of KKR’s Benelux business, will move to become chairman of its operations in that region. 

“The firm is now the largest investor in the Netherlands by capital invested and we continue to see a lot of opportunity for private capital to help create value,” said Knottenbelt, who joined KKR in 2018 from Palamon Capital Partners. 

Franks worked on KKR’s 2021 acquisition of sustainability consultancy ERM Group Inc. for $2.7 billion including debt, as well as its purchase of compliance provider Citation Group the year before. He also helped KKR attract more money from new sources, serving as co-chief executive officer of its K-PRIME fund targeting high net worth individuals.  

“Tim and Daan have helped build our business in EMEA over the last 5-6 years and we are grateful for their significant contributions,” a spokesperson for KKR said by email. 

KKR has been one of the most active private equity firms in Europe. It announced more than $29 billion of takeovers in the region last year, trailing only Blackstone Inc.’s $45 billion tally, according to data compiled by Bloomberg. 

Private equity funds are facing rising challenges to their traditional model of leveraged buyouts, with some portfolio companies now being forced to refinance their borrowings at higher interest rates. At the same time, the increased cost of living has hit spending across the consumer sector.

KKR closed its latest European buyout fund at $8 billion in April. Last month, it overhauled leadership of its Asia-Pacific private equity team as it began allocating capital from a new $15 billion regional fund.

The private equity firm recently refinanced the debt of Dutch food group Upfield, the former Unilever spreads business, after making significant concessions to win over investors. Meanwhile, KKR is set to give up ownership of Hilding Anders International AB, which it invested in through a credit fund, as part of the Swedish mattress maker’s second debt restructuring in less than a year. 

(Updates with additional details on KKR deals from fifth paragraph.)

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