How private equity changed the world
The 50th birthday of New York private-equity giant Kohlberg Kravis Roberts – founded with $120,000 by the cousins George Roberts and Henry Kravis and now holding $758 billion of assets under management – is a moment to ask whether the modus operandi the firm pioneered has been good or bad for the world. Private-equity buyouts of underperforming public companies have certainly been a catalyst for sharper corporate performance across every western economy. But with what impact on society? Some buyouts also provide cover for ‘sin’ businesses that harm the planet or deny workers’ rights. KKR itself will never live down the book title Barbarians at the Gate, referring to its
