Investment Firm Closes on Global Atlantic Acquisition

Global Atlantic has brought KKR about $90 billion in assets to manage and relationships with about 2 million annuity contract holders and life insurance policyholders.

Same Leadership, Separate Company

KKR says Allan Levine, Global Atlantic’s chief executive officer, will continue to lead Global Atlantic, which will continue to operate as a separate company under the direction of the current leadership team.

Levine said in a statement included in the consummation announcement, that being part of KKR will give Global Atlantic better access to long-term strategic capital.

Scott Nuttall, KKR’s co-president, said in August, during a conference call with securities analysts, that he still likes the annuity market, in spite of the current effects of low interest rates on annuity operations.

“Our view is that, if anything, this low rate environment is going to drive demand for savings products that have tax deferral,” Nuttall said. “And, really, that’s what an annuity product is… . So, we’re not of the view that the last few months is a long-term trend. We believe that we’ll continue to see organic growth by virtue of that need for yield.”

— Read Global Atlantic Wants to Talk, on ThinkAdvisor.

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