Key Takeaways
- • KKR agreed to acquire Gen II Fund Services, LLC, a private capital fund administrator, at a total enterprise value of $5.1 billion from Hg, General Atlantic and other minority investors, via its Core Private Equity strategy.
- • Gen II provides fund administration to more than 275 investment managers representing over $2 trillion in assets, alongside tax, compliance, treasury and technology-enabled services.
- • General Atlantic and Hg co-led the 2020 investment in Gen II; since then revenue and EBITDA have quadrupled through organic growth and four strategic acquisitions.
- • Gen II's leadership under CEO Steven Millner will continue, and KKR plans a broad-based employee ownership program plus further investment in proprietary technology and AI-enabled solutions.
- • The transaction is subject to customary closing conditions and regulatory approvals and is expected to close in 2027.
Summary
KKR announced on October 5, 2026 that it has agreed to acquire Gen II Fund Services, LLC ("Gen II"), a global leader in private capital fund administration, for a total enterprise value of $5.1 billion. The company is being acquired from Hg, General Atlantic and other minority investors through KKR's Core Private Equity strategy. Gen II's leadership team, led by CEO and co-founder Steven Millner, will continue to run the business.
According to the announcement, Gen II serves more than 275 investment managers representing over $2 trillion in assets, offering fund administration alongside a growing suite of tax, compliance, treasury and technology-enabled solutions. The company was founded in 2009 by Steven Millner, Steven Alecia and Norman Leben. KKR said the partnership is intended to support Gen II's next phase of growth as private market managers increasingly seek scaled, technology-enabled solutions for more complex fund structures, investor needs and regulatory requirements.
General Atlantic and Hg co-led an investment in Gen II in 2020. Since then, the company has expanded its U.S. and European footprint, broadened its offerings and quadrupled revenue and EBITDA through organic growth and four strategic acquisitions, according to the release. KKR plans to support expansion in the U.S. and internationally, broaden capabilities across asset classes and services, and invest in proprietary technology and AI-enabled solutions. It also plans to help implement a broad-based employee ownership program.
Chris Harrington, Partner at KKR, described Gen II as a sophisticated sector leader with exceptional client relationships and a differentiated service model. Hg's Justin von Simson and Stefanie Raiola and General Atlantic's Aaron Goldman and Caroline Woodworth also commented on the company's development. The transaction is subject to customary closing conditions and regulatory approvals and is expected to close in 2027. Simpson Thacher & Bartlett LLP advised KKR, while Morgan Stanley, Robert W. Baird and UBS Investment Bank acted as financial advisors to the sellers, with Kirkland & Ellis LLP as legal advisor to the sellers.
According to the announcement, Gen II serves more than 275 investment managers representing over $2 trillion in assets, offering fund administration alongside a growing suite of tax, compliance, treasury and technology-enabled solutions. The company was founded in 2009 by Steven Millner, Steven Alecia and Norman Leben. KKR said the partnership is intended to support Gen II's next phase of growth as private market managers increasingly seek scaled, technology-enabled solutions for more complex fund structures, investor needs and regulatory requirements.
General Atlantic and Hg co-led an investment in Gen II in 2020. Since then, the company has expanded its U.S. and European footprint, broadened its offerings and quadrupled revenue and EBITDA through organic growth and four strategic acquisitions, according to the release. KKR plans to support expansion in the U.S. and internationally, broaden capabilities across asset classes and services, and invest in proprietary technology and AI-enabled solutions. It also plans to help implement a broad-based employee ownership program.
Chris Harrington, Partner at KKR, described Gen II as a sophisticated sector leader with exceptional client relationships and a differentiated service model. Hg's Justin von Simson and Stefanie Raiola and General Atlantic's Aaron Goldman and Caroline Woodworth also commented on the company's development. The transaction is subject to customary closing conditions and regulatory approvals and is expected to close in 2027. Simpson Thacher & Bartlett LLP advised KKR, while Morgan Stanley, Robert W. Baird and UBS Investment Bank acted as financial advisors to the sellers, with Kirkland & Ellis LLP as legal advisor to the sellers.
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