Report: Harman Deal “Hitting Resistance”
The planned purchase of Harman International is “hitting resistance” from debt investors, along with several other deals that the equity firm Kohlberg Kravis Roberts and Co. have in progress, the Wall Street Journal reported Friday in its “Heard On the Street” column.
At issue is a credit crunch may cause KKR to struggle to complete 11 transactions it has in progress, including its deals to take over Harman International for $8 billion, TXU Corp. for $44 billion and First Data Corp. for $28 billion. Harman reached an agreement in April to be acquired by KKR for $8 billion.
Looking at the same issue last week, CNBC’s David Faber predicted that ”despite credit worries, deals will get done,” including those for Alliance Data and Harman.