KKR earnings beat estimates, portfolio value up, (NYSE: KKR), (NYSE: HCA), (NYSE: PFE)

KKR (KKR.N) posted higher-than-expected quarterly earnings as the value of its private equity investments rose, fee income increased and it benefited from taking portfolio companies such as Nielsen Holdings NLSN.O and HCA Holdings Inc (HCA.N) public. Private equity firms have been benefiting from an improving economy and rising stock market valuations and seen the value of their portfolios increase. They have also taken advantage of a rebound in M&A and improving IPO markets to exit some of their investments. "The capital markets have facilitated not just exits but acquisitions," said KKR partner Scott Nuttall, who leads the company's quarterly earnings calls. He pointed to KKR's recent deal to buy Capsugel, the world's largest maker of hard capsules, from Pfizer Inc (PFE.N) for nearly $2.38 billion. Private equity firms have been finding it difficult to do traditional leveraged buyout deals in the United States as stock market values have increased, pushing up purchase prices.

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