|Over a month ago|
FS KKR Capital upgraded to Buy from Neutral at Compass Point » 15:3003/0203/02/21
Compass Point analyst…
Compass Point analyst Casey Alexander upgraded FS KKR Capital to Buy from Neutral with a price target of $21.50, up from $17.25.
FS KKR Capital reports Q4 adjusted NII 72c, consensus 60c » 16:1603/0103/01/21
Reports net asset value…
Reports net asset value of $25.02 per share, compared to $24.46 per share as of September 30, 2020.
FS KKR Capital sees Q4 adjusted EPS 68c-70c, consensus 59c » 08:1402/0102/01/21
FS KKR Capital announced…
FS KKR Capital announced certain preliminary estimates of financial results for the Q4. The company also is providing information on earnings releases and conference calls to discuss Q4 financial results. Sees Q4 net asset value per share $24.95-$25.05, compared to $24.46 in the previous quarter. Sees Q4 net debt-to-equity, adjusted for available cash, receivables for investments sold, and payables for investments purchased, is estimated to approximate 1.19x as of December 31, 2020, compared to 1.20x at September 30, 2020. The Companies are providing these preliminary estimates of results to give investors timely information in conjunction with the proposed merger of FSK and FSKR, which was announced on November 24, 2020. Daniel Pietrzak, Co-President and CIO of each Company, described the quarter's investment activity as, "The Q4 was active from an investment perspective as both financial and strategic buyers took advantage of an improved operating environment still coupled with record low interest rates. Our strong relationships provided our investment teams with what we believe were numerous high quality investment opportunities and allowed us to be selective in our transaction approval process. We look forward to discussing the details of our activity during the quarter, as well as our outlook for 2021, on our earnings conference calls on March 2, 2021."
|Over a quarter ago|
FS KKR Capital downgraded to Market Perform from Outperform at Raymond James » 09:1212/0712/07/20
Raymond James analyst…
Raymond James analyst Robert Dodd downgraded FS KKR Capital (FSK) to Market Perform from Outperform without a price target, citing its proposed merger agreement with FS KKR Capital Corp. II (FSKR). The analyst believes shares will perform in-line with peers given lower structural credit protection for shareholders from the lookback elimination in 2H21 and lower forward normalized total economic returns to shareholders.
FS KKR Capital downgraded to Market Perform from Outperform at Raymond James » 04:4712/0712/07/20
Raymond James analyst…
Raymond James analyst Robert Dodd downgraded FS KKR Capital to Market Perform from Outperform without a price target.
FS KKR Capital, FS KKR Capital Corp. II enter definitive merger agreement » 07:0111/2411/24/20
FS/KKR Advisor, a…
FS/KKR Advisor, a partnership between FS Investments and KKR Credit Advisors, announced that FS KKR Capital (FSK) and FS KKR Capital Corp. II (FSKR), two publicly traded business development companies advised by FS/KKR, have entered into a definitive merger agreement. The merger of FSK and FSKR would create one of the largest BDCs in the U.S., with $14.9B in assets under management, $7.2B in net asset value and over $3B of committed capital available to new investment opportunities, each on a pro forma basis as of September 30. Under the terms of the agreement, shareholders of FSKR will receive a number of FSK shares with a NAV per share equal to the NAV of the FSKR shares they hold, as determined shortly before closing, subject to payment of cash in lieu of fractional shares at the election of FSK. FSK will be the surviving entity and will continue to be managed by FS/KKR and trade on the New York Stock Exchange under the ticker symbol (FSK). The board of directors of FS KKR Capital Corp. and FS KKR Capital Corp. II have unanimously approved the merger. The transaction is expected to close during the second or third quarter of 2021, subject to approval by FSK and FSKR shareholders and other customary closing conditions. Prior to the closing of the merger, FS/KKR currently expects FSK and FSKR each to continue to declare quarterly distributions in the normal course of business, subject to board approval. The combined company's investment strategy will continue to focus predominantly on senior secured debt investments. Based on publicly available information as of September 30, on a pro forma basis, approximately 72% of the combined company's investment portfolio will be comprised of senior secured debt investments. The combined company had, on a pro forma basis, $14.9B in assets as of September 30. The combined company's investment portfolio consisted of 216 investments across 23 industries, as of September 30. The merger is projected to generate approximately $5M in near term annual synergies by eliminating duplicative internal and external functions. In connection with the merger, the board of FSK has also approved an amended advisory agreement for the combined company. Upon the closing, the combined company will permanently reduce its income incentive fee to 17.5% from the existing level of 20%. The hurdle rate will remain at 7%. In conjunction with the permanent fee reduction, the look back provision in the existing FSK advisory agreement will be removed. At the closing of the merger, FS/KKR has agreed to waive $90M of incentive fees spread evenly over the first six quarters following the closing. This waiver equates to $15M per quarter.
FS KKR Capital downgraded to Underweight with $15.50 target at Wells Fargo » 06:3711/1211/12/20
Wells Fargo analyst…
Wells Fargo analyst Finian O'Shea downgraded FS KKR Capital (FSK) to Underweight from Equal Weight with a $15.50 price target. FS KKR Capital is the more expensive on a price to net asset value basis and is less cheap on a normalized incentive fee relative to FS KKR Capital Corp. II (FSKR), O'Shea tells investors in a research note. The analyst also believes believe FS KKR Capital Corp. II is better positioned to grow.
FS KKR Capital downgraded to Underweight from Equal Weight at Wells Fargo » 04:5011/1211/12/20
Wells Fargo analyst…
Wells Fargo analyst Finian O'Shea downgraded FS KKR Capital to Underweight from Equal Weight with a $15.50 price target.
FS KKR Capital reports Q3 EPS 63c, consensus 61c » 16:3111/0911/09/20
Reports Q3 revenue $147M,…
Reports Q3 revenue $147M, consensus $146.86M. Reports Q3 Net asset value of $24.46 per share, compared to $23.37 per share as of June 30. "The Q3 was a positive quarter on a number of fronts," commented Michael C. Forman, CEO & Chairman. "Our net investment income per share comfortably covered our quarterly dividend, our net asset value per share increased by 4.7%, and our annualized quarterly dividend of $2.40 per share continues to exceed our targeted yield to investors of 9.0%. Overall, we are pleased with the quarter and how we are positioned for success as we plan for 2021 and beyond."
FS KKR Capital initiated with a Neutral at National Securities » 09:1309/2309/23/20
National Securities analyst Bryce Rowe initiated coverage of FS KKR Capital with a Neutral rating and $18 price target, telling investors that he sees the risk/reward as "skewed slightly to reward" with the shares trading at 67% of NAV/share with a dividend yield of 15.3%.