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KKR to Buy Sallie Mae Loans in Private Credit Partnership

Provided by Dow Jones Nov 12, 2025, 3:08:00 PM

By Nicholas G. Miller

Sallie Mae will sell private education loans to KKR as part of a private credit partnership between the two companies.

KKR will purchase an initial portfolio of private education loans followed by a minimum of $2 billion in new private education loans annually for three years.

Sallie Mae will retain servicing for the loans sold to KKR, which will pay Sallie Mae fees for servicing, program management and industry expertise.

Sallie Mae said the partnership would strengthen its capacity to fund new loans.

"We believe this inaugural partnership with KKR will unlock the potential for off-balance-sheet capital efficiency, create a more resilient, capital-light, and consistent earnings profile, and allow us to serve more students and families," said Sallie Mae Chief Executive Jon Witter.

Write to Nicholas G. Miller at nicholas.miller@wsj.com.

(END) Dow Jones Newswires

November 12, 2025 10:08 ET (15:08 GMT)

Copyright (c) 2025 Dow Jones & Company, Inc.

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