HMC Capital's KKR Partnership 'a Reasonable Plan B' -- Market Talk

Dow Jones
02/09

2050 GMT - HMC Capital's strategic partnership with KKR to build out its energy transition platform wouldn't have been Jefferies's first choice. KKR will invest up to A$603 million in the platform. "In our view, a traditional fund launch would have been preferable, given that the agreed format requires repayment of KKR's preferred equity (A$355 million) over seven years at 14% per annum," analyst Simon Fitzgerald says. Still, it's a reasonable plan B. KKR brings credibility to HMC's vision and is likely to improve the prospects for recycling capital at a later date, Jefferies says. KKR's investment will allow HMC to scale the existing platform, including the development of new battery storage and wind projects. Jefferies retains a buy call on HMC. (david.winning@wsj.com; @dwinningWSJ)

 

(END) Dow Jones Newswires

February 08, 2026 15:50 ET (20:50 GMT)

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