KKR Sets $100 Million Wireless Deal

Apparently, Kohlberg Kravis and Roberts, a multinational private equity firm, has struck a $100 million pact to build wireless-communications infrastructure alongside Associated Partners LP, an investment firm run by one of the sector's pioneering families, according to people familiar with the matter.

Associated Partners' managers, brothers David and Bill Berkman, are the scions of a Pittsburgh family that made a fortune in communications. The family business started selling greeting cards and went on to own radio and TV stations and eventually operate and sell off early cellular networks. KKR will initially pump about $100 million into the partnership, but it could contribute more later, some of the people said. The way the deal is structured, KKR is making minority investments in three businesses managed by Associated Partners. Associated Partners is aiming to ramp up its business upgrading wireless systems in rural areas, which generally lag behind those in urban areas in data-handling capacity. The firm has about 20 teams around the country working on rewiring hard-to-reach cell sites with the latest high-speed equipment on behalf of major carriers such as Verizon Wireless and AT&T.