Kkr Is Hooking Up To Telecom
KOHLBERG KRAVIS ROBERTS, better known for its investments in such prosaic industries as food and supermarkets, is going high-tech--after a fashion. The buyout firm is plunging into telecommunications, with a $475 million buyout of Rockwell International's Reliance Comm/Tec unit. KKR says Comm/Tec, which had 1994 sales of $458 million, should prosper from the telecommunications industry's bulging investment in infrastructure, especially with its digital loop carriers that link fiber-optic cables with old copper wires. If the acquisition seems racy by KKR's traditional standards, Comm/Tec has its prosaic side, too: Most of the unit's sales come from old-line, stable businesses.