KKR has agreed to pay $250m to resolve a US Department of Justice lawsuit alleging the private equity firm failed to comply with federal pre-merger filing requirements in connection with a series of buyouts, according to a report by the Financial Times.
The settlement represents the largest-ever civil penalty for violations of the Hart-Scott-Rodino Act, which requires companies involved in certain mergers and acquisitions to provide information to US antitrust authorities before completing transactions.
The $250m payment is more than 20 times larger than any previous penalty imposed under the legislation.
KKR said it strongly disagreed with the government’s allegations but decided to settle rather than continue a legal battle it considered a distraction for the business.
“We believe that our firm acted in good faith at all times under our prior filing process, and it was consistent with industry practice,” KKR said in a statement. The firm added that it was “pleased to put this behind us.”
KKR said the settlement would not affect its financial position or investors because the civil penalty will be reimbursed in full by external law firms.
The Justice Department filed its lawsuit in January 2025, alleging that KKR had repeatedly failed to submit required information in connection with at least 16 transactions completed during 2021 and 2022.
According to prosecutors, the firm either modified documents, failed to make filings or systematically left out information required under the HSR Act. The department said KKR had been required to make more than 100 HSR filings since 2021 and was therefore familiar with the requirements.
The case was brought near the end of the Biden administration as the Justice Department’s antitrust division was intensifying scrutiny of private equity’s role in mergers and acquisitions.
Settlement talks between KKR and the department had previously broken down, prompting the private equity firm to launch its own legal action in January 2025. KKR argued at the time that the government’s approach was intended to single out the firm and discourage M&A activity.
