Kayne Anderson Energy Infrastructure Fund Provides Unaudited Balance Sheet Information and Announces Its Net Asset Value and Asset Coverage Ratios as of December 31, 2024

Rhea-AI Summary

Kayne Anderson Energy Infrastructure Fund (NYSE: KYN) has released its unaudited financial statement as of December 31, 2024. The company reported net assets of $2.4 billion and a net asset value per share of $13.90. The fund's asset coverage ratio for senior securities representing indebtedness was 653%, while the ratio for total leverage was 488%.

The fund's portfolio primarily consists of Midstream Energy Companies (94%), followed by Utility Companies (3%), Other Energy (2%), and Debt (1%). The top three holdings are Energy Transfer LP (11.1%), Enterprise Products Partners L.P. (10%), and The Williams Companies, Inc. (9.8%). The company had 169,126,038 common shares outstanding and total assets of $3.28 billion, with total leverage of $602.3 million.

Positive

• Strong asset coverage ratios: 653% for debt and 488% for total leverage
• Substantial total assets of $3.28 billion
• Well-diversified portfolio across major energy infrastructure companies

Negative

• None.

Insights

Financial Analyst

This quarterly financial update reveals robust asset coverage ratios, with 653% for senior securities indebtedness and 488% for total leverage, indicating strong financial health and conservative leverage management. The fund's $2.4 billion in net assets and $13.90 NAV demonstrate stable valuation.

The portfolio composition shows a strategic focus on midstream energy infrastructure, comprising 94% of long-term investments. The top 10 holdings represent high-quality midstream operators, with Energy Transfer LP leading at 11.1% allocation, followed by Enterprise Products Partners and Williams Companies at 10.0% and 9.8% respectively. This concentrated portfolio in blue-chip midstream companies suggests a focus on stable cash flows and distribution potential.

The fund's leverage structure appears well-managed with $409.7M in notes and $43.0M in credit facility usage, while maintaining substantial asset coverage. The $312.8M deferred tax liability indicates significant unrealized gains in the portfolio, which could provide future flexibility for distribution management.

Market Research Analyst

The fund's portfolio positioning reflects a calculated bet on the North American energy infrastructure sector, with significant exposure to key players in natural gas, liquids and storage infrastructure. The minimal allocation to utilities (3%) and other energy sectors (2%) shows a clear strategic focus on midstream operations.

The top 10 holdings represent approximately 74.1% of the portfolio, indicating concentrated exposure to the largest and most liquid midstream operators. This concentration in established players like Energy Transfer, Enterprise Products and Williams Companies suggests a focus on companies with strong market positions and sustainable cash flows.

The minimal cash position of $4.9M indicates full deployment of capital, reflecting management's confident outlook on the sector. The high asset coverage ratios provide significant cushion against potential market volatility while maintaining the ability to capitalize on growth opportunities.

HOUSTON, Jan. 02, 2025 (GLOBE NEWSWIRE) -- Kayne Anderson Energy Infrastructure Fund, Inc. (the “Company”) (NYSE: KYN) today provided a summary unaudited statement of assets and liabilities and announced its net asset value and asset coverage ratios under the Investment Company Act of 1940 (the “1940 Act”) as of December 31, 2024.

As of December 31, 2024, the Company’s net assets were $2.4 billion, and its net asset value per share was $13.90. As of December 31, 2024, the Company’s asset coverage ratio under the 1940 Act with respect to senior securities representing indebtedness was 653% and the Company’s asset coverage ratio under the 1940 Act with respect to total leverage (debt and preferred stock) was 488%.

STATEMENT OF ASSETS AND LIABILITIES DECEMBER 31, 2024   // (UNAUDITED)
		(in millions)
Investments		$	3,263.1
Cash and cash equivalents			4.9
Receivable for securities sold			1.1
Accrued income			3.2
Current tax asset, net			3.5
Other assets			0.5
Total assets			3,276.3
Credit facility			43.0
Notes			409.7
Unamortized notes issuance costs			(2.7	)
Preferred stock			153.6
Unamortized preferred stock issuance costs			(1.3	)
Total leverage			602.3
Other liabilities			10.0
Deferred tax liability, net			312.8
Total liabilities			322.8
Net assets		$	2,351.2

The Company had 169,126,038 common shares outstanding as of December 31, 2024.

Long-term investments were comprised of Midstream Energy Companies (94%), Utility Companies (3%), Other Energy (2%) and Debt (1%).  

The Company’s ten largest holdings by issuer at December 31, 2024 were:

		Amount (in millions)*		% Long Term Investments
1.	Energy Transfer LP (Midstream Energy Company)	$363.8		11.1%
2.	Enterprise Products Partners L.P. (Midstream Energy Company)	324.8		10.0%
3.	The Williams Companies, Inc. (Midstream Energy Company)	319.8		9.8%
4.	MPLX LP (Midstream Energy Company)	294.8		9.0%
5.	Cheniere Energy, Inc. (Midstream Energy Company)	232.4		7.1%
6.	Kinder Morgan, Inc. (Midstream Energy Company)	206.7		6.3%
7.	Targa Resources Corp. (Midstream Energy Company)	189.4		5.8%
8.	ONEOK, Inc. (Midstream Energy Company)	189.2		5.8%
9.	TC Energy Corporation (Midstream Energy Company)	160.7		4.9%
10.	Western Midstream Partners, LP (Midstream Energy Company)	141.2		4.3%
*	Includes ownership of common and preferred units.

Portfolio holdings are subject to change without notice. The mention of specific securities is not a recommendation or solicitation for any person to buy, sell or hold any particular security. You can obtain a complete listing of holdings by viewing the Company’s most recent quarterly or annual report.

Kayne Anderson Energy Infrastructure Fund, Inc. (NYSE: KYN) is a non-diversified, closed-end management investment company registered under the Investment Company Act of 1940, as amended, whose common stock is traded on the NYSE. The Company's investment objective is to provide a high after-tax total return with an emphasis on making cash distributions to stockholders. KYN intends to achieve this objective by investing at least 80% of its total assets in securities of Energy Infrastructure Companies. See Glossary of Key Terms in the Company’s most recent quarterly report for a description of these investment categories and the meaning of capitalized terms.

This press release shall not constitute an offer to sell or a solicitation to buy, nor shall there be any sale of any securities in any jurisdiction in which such offer or sale is not permitted. Nothing contained in this press release is intended to recommend any investment policy or investment strategy or consider any investor’s specific objectives or circumstances. Before investing, please consult with your investment, tax, or legal adviser regarding your individual circumstances.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: This communication contains statements reflecting assumptions, expectations, projections, intentions, or beliefs about future events. These and other statements not relating strictly to historical or current facts constitute forward-looking statements as defined under the U.S. federal securities laws. Forward-looking statements involve a variety of risks and uncertainties. These risks include but are not limited to changes in economic and political conditions; regulatory and legal changes; energy industry risk; leverage risk; valuation risk; interest rate risk; tax risk; and other risks discussed in detail in the Company’s filings with the SEC, available at www.kaynefunds.com or www.sec.gov. Actual events could differ materially from these statements or our present expectations or projections. You should not place undue reliance on these forward-looking statements, which speak only as of the date they are made. Kayne Anderson undertakes no obligation to publicly update or revise any forward-looking statements made herein. There is no assurance that the Company’s investment objectives will be attained.

Contact investor relations at 877-657-3863 or cef@kayneanderson.com.

FAQ

What is KYN's net asset value per share as of December 31, 2024?

KYN's net asset value per share was $13.90 as of December 31, 2024.

What is the portfolio composition of KYN as of December 31, 2024?

KYN's portfolio consists of 94% Midstream Energy Companies, 3% Utility Companies, 2% Other Energy, and 1% Debt.

What are KYN's top three holdings and their percentages?

KYN's top three holdings are Energy Transfer LP (11.1%), Enterprise Products Partners L.P. (10%), and The Williams Companies, Inc. (9.8%).

What is KYN's asset coverage ratio for total leverage as of December 2024?

KYN's asset coverage ratio for total leverage (debt and preferred stock) was 488% as of December 31, 2024.

How many common shares does KYN have outstanding as of December 31, 2024?

KYN had 169,126,038 common shares outstanding as of December 31, 2024.