KKR acquires majority stake in biopharma royalty firm HCRx

NEW YORK - Investment firm KKR & Co. Inc. (NYSE:KKR) has acquired a majority ownership stake in HealthCare Royalty Partners (HCRx), a biopharma royalty acquisition company, according to a press release statement issued Wednesday.

HCRx, founded in 2006 and headquartered in Stamford, Connecticut, has committed over $7 billion in capital since inception and currently manages approximately $3 billion in assets across more than 55 products spanning 10 therapeutic areas. This acquisition aligns with KKR’s growth strategy, which has yielded impressive returns, with InvestingPro data showing a 27% revenue CAGR over the past five years.

Clarke Futch will continue as HCRx Chairman and CEO while maintaining a substantial minority interest in the company. The HCRx team will work with KKR’s health care division to provide financing solutions across the biopharma sector.

"With KKR’s resources, expertise and similar approach to partnership, we are well positioned to scale our platform, more comprehensively serve the landscape of biopharma companies," said Futch.

The acquisition enhances KKR’s capabilities in biopharma royalty and credit investing while expanding its footprint in life sciences. KKR has invested more than $20 billion of equity capital in the health care sector since 2004. For investors seeking deeper insights into KKR’s financial performance and growth prospects, InvestingPro offers comprehensive analysis through its Pro Research Report, available for over 1,400 US stocks.

Ali Satvat, Partner and Co-Head of Health Care at KKR, cited HCRx’s market leadership in biopharma royalties and the expertise of its leadership team as key factors in the acquisition.

TD Securities served as exclusive financial advisor to HCRx for the transaction. Financial terms were not disclosed.

In other recent news, KKR has completed a $6.5 billion fundraising effort for its asset-based finance strategy, significantly surpassing its previous fund. This includes $5.6 billion in KKR Asset-Based Finance Partners II and nearly $1 billion from separately managed accounts. Additionally, KKR and T-Mobile have finalized their acquisition of Metronet, creating a joint venture aimed at expanding fiber deployment in underserved markets. In a separate development, KKR has committed A$500 million to CleanPeak Energy to enhance its distributed energy platform in Australia. This investment is part of KKR’s Global Climate Transition strategy and is expected to close in the latter half of 2025. Furthermore, KKR has agreed to acquire a significant minority stake in the travel technology company Etraveli Group, although financial details were not disclosed. Lastly, Capital Group has filed a registration statement with the SEC for a new public-private equity fund in partnership with KKR, named Capital Group KKR U.S. Equity+, which aims to launch in early 2026 pending regulatory approval.

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