Morgan Stanley No Longer Financing Karo Deal Amid Volatility

Banks are getting cautious about taking on risk as US President Donald Trump’s tariff regime upends markets.

Photographer: Michael Nagle/Bloomberg
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Morgan Stanley is no longer involved in providing financing for KKR & Co.’s purchase of Swedish consumer-health company Karo Healthcare, according to people familiar with the matter.

Morgan Stanley is advising Karo’s owner EQT AB on the sale and had teamed up with Jefferies Financial Group Inc. to offer around €1.1 billion ($1.2 billion) staple financingBloomberg Terminal to potential bidders.