Not bad for one year's work.
KKR's founders Henry Kravis and George Roberts received $161.4m and $165.5m respectively in cash dividends and executive pay in 2013, over 17% more than they got in 2012, a regulatory filing showed on Monday.
Reuters reports that the disclosure was made in KKR's annual report filed with the U.S. Securities and Exchange Commission and demonstrates how the private equity firm's sale of assets in 2013 enriched not just its investors but also its leaders and dealmakers.
This is because buoyant capital markets made it easier for KKR to cash out on its fund investments at higher valuations, generating performance fees that go to KKR partners but also to shareholders in the form of dividends.
But the rise in the founders' profits in 2013 compared to 2012 was not down to higher distributable earnings, which were almost flat year-on-year because the firm also had a strong year of asset sales in 2012.
Instead, the rise was due to KKR changing its payout policy last year and offering to share 40% of profits from its own investments with shareholders.
This brought KKR's total 2013 dividends to $1.40 per share, up 15% from 2012 and in line with the rise in the founders' profits.
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