For KKR, the TMT Growth strategy is about identifying platforms – management teams, businesses, and sectors – where we can invest to build leading global enterprises. Our strategy, which invests primarily through our Next Generation Technology Fund, allows us to invest capital through majority or minority stakes in private companies as well as taking minority stakes in public companies. We focus on emerging, high-growth companies and invest across a variety of sub-segments including Software, Security, Semiconductors, Consumer Electronics, Internet of Things (IoT), Information Services, Business Services, Internet, Digital Media, Content and Communications. TMT Growth transactions tend to involve smaller equity investments, have structured downside protection, limited leverage and take on execution risk as opposed to fundamental technology risk.
Beyond access to financial capital, KKR offers the companies we partner with access to our substantial network, industry expertise, M&A support, global reach, and insights from our global Private Equity portfolio which has more than 100 current portfolio companies worldwide, translating into over $7 billion in Information Technology spend and over $10 billion in marketing spend annually. Additionally, our portfolio companies have access to the operational experience of KKR Capstone.
Since 2014, the firm has executed a number of transactions as part of the firm’s growth equity strategy, including DarkTrace, FanDuel, GetYourGuide, KnowBe4, OneStream, OutSystems, PolicyGenius, ReliaQuest, Slice, and Zwift. Our current portfolio is accessible here.