Kim Kardashian’s private equity firm SKKY Partners has struggled to raise money, raising only a fraction of its $2 billion goal, according to a federal securities filing.
The reality TV star-turned-mogul started a private equity firm with former Carlyle Group executive Jay Sammons more than a year ago and had made no investment commitments as of late March, according to filings. The amount is only $121 million.
About $80 million was set up as a special purpose acquisition company (SPAC) for a minority investment in truffled hot sauce maker Truff, with a valuation of $7,987 after its latest funding round in February, according to filings. It was valued at $1,000,000.first reported Axios.
Axios reports that the special purpose vehicle, which has an interest rate of 20% and is subject to a compounded preferred return of 8%, will eventually be incorporated into SKKY’s main fund.
According to Axios, it is unclear which companies provided funding to SKKY, and SKKY has not set an official end date for its first round of funding, and is officially raising funds through a rolling close as of March 2023. .
Anonymous sources told Axios that SKKY could raise more than the $121 million reported in its federal securities filing, but the Boston-based company remains We are far from meeting our procurement goals.
Representatives for SKKY did not immediately respond to The Post’s request for comment.
SKKY was reportedly looking at investing in consumer and media companies in the pre-marketing stage.
Many onlookers expected these companies to be the brands that Kardashian would promote, but according to Axios, the 43-year-old Kardashian said her role would be more of a traditional private equity role than a brand ambassador. He revealed that he will become something similar to an advisor.
Kardashian, whose shares in SKKY are partly held by an entity called Favorite Daughter, founded the company with a strong team, but investors can’t do anything with it until they have more money, Axios reported. Ta.
For example, in August, Kardashian, who also owns the $4 billion shapewear brand Skims, hired former Apple retail chief Angela Ahrendts as senior executive advisor to SKKY.
In this role, Ahrendts, 63, focuses on investments across consumer products, e-commerce, media and entertainment.
After SKKY first launches in late 2022, Kardashian said in a hiring statement at the time, “As we continue to grow our SKKY partners and focus on identifying strategic investment opportunities for the company, we are hiring Angela. It was the perfect time to welcome him to our company.” .
