Onex and KKR’s Investment in Resource Environmental Solutions

Kirkland & Ellis represented Resource Environmental Solutions and investment funds affiliated with its existing investor Kohlberg Kravis Roberts & Co. LP in the transaction.

Resource Environmental Solutions, LLC (RES), the nation’s largest ecological restoration company, announced that Onex Partners V, Onex Corporation’s (“Onex”)(TSX:ONEX) $7.2 billion fund, has agreed to make a significant investment in RES, together with funds affiliated with the company’s existing investor, KKR. This investment, made in partnership with management, is in support of RES’ continued growth and development. Financial terms were not disclosed.

RES (Resource Environmental Solutions) is restoring a resilient earth for a modern world, project by project. As the nation’s largest ecological restoration company, RES provides environmental mitigation, stormwater and water quality, and climate and flooding resilience solutions with a focus on full delivery, long-term stewardship and guaranteed performance. RES designs, builds, and sustains sites that preserve the environmental balance, restoring our land and waters to enhance lives for generations to come.

Founded in 1984, Onex manages and invests capital on behalf of its shareholders, institutional investors and high net worth clients from around the world. In total, as of September 30, 2021, Onex has approximately $47 billion of assets under management, of which approximately $7.9 billion is its own investing capital. With offices in Toronto, New York, New Jersey, Boston and London, Onex and its experienced management teams are collectively the largest investors across Onex’ platforms.

KKR is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of The Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries

The Kirkland team was led by corporate partners Kyle Watson (Picture) and John Pitts and associates Daniel Cadis, Abbey Zuech and Evan Chavez, tax partner David Wheat and associate Ryan Phelps, environmental transactions partners Paul Tanaka and James Dolphin, executive compensation partner Rob Fowler and associate Karsten Busby, employee benefits partner Alexandra Mihalas and associate Kairvi Tijoriwala, employment and labor partners RD Kohut and Christine Lacku and associate Alexis Grinstead, debt finance partners Yuli Wang and Eric Wedel, real estate partner Andy Van Noord and associate Callie Poorman, antitrust and competition partner Carla Hine and with assistance from corporate associate Fernanda Langa. 

Involved fees earner: Karsten Busby – Kirkland & Ellis; Daniel Cadis – Kirkland & Ellis; Evan Chavez – Kirkland & Ellis; James Dolphin – Kirkland & Ellis; Robert Fowler – Kirkland & Ellis; Alexis Grinstead – Kirkland & Ellis; Carla Hine – Kirkland & Ellis; R.D. Kohut – Kirkland & Ellis; Christine Lacku – Kirkland & Ellis; Fernanda Langa – Kirkland & Ellis; Alexandra Mihalas – Kirkland & Ellis; Ryan Phelps – Kirkland & Ellis; John Pitts – Kirkland & Ellis; Callie Poorman – Kirkland & Ellis; Paul Tanaka – Kirkland & Ellis; Kairvi Tijoriwala – Kirkland & Ellis; Andrew Van Noord – Kirkland & Ellis; Yuli Wang – Kirkland & Ellis; Kyle Watson – Kirkland & Ellis; Eric Wedel – Kirkland & Ellis; David Wheat – Kirkland & Ellis; Abbey Zuech – Kirkland & Ellis;

Law Firms: Kirkland & Ellis;

Clients: KKR; Resource Environmental Solutions LLC;