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Photo: Ben Hider/Getty Images

KKR on Friday disclosed a 6.3% stake in playpen operator Dave & Buster's (Nasdaq: PLAY), and said that it may engage with shareholders on transactions and changes to company management.

Why it matters: Big buyout firms have worked for years to become viewed as management friendly, eschewing hostile takeovers and explicit partnerships with activist investors. What KKR just announced feels like a significant divergence from that path.

  • Dave & Buster's shares are down 18.5% over the past year, closing Thursday at $42.04 for a market cap of around $1.28 billion.
  • KKR's filing sent shares up more than 11%, opening trading on Friday at $46.76.
  • Dave & Buster's, which was private-equity-owned before going public in 2014, also has nearly $1.9 billion of debt.

KKR formed a public equity strategy several years back, and reportedly earmarked more than $1 billion of its flagship buyout fund for the purpose of acquiring so-called "toehold" positions in listed companies.

  • However, the outside expectation was that these stakes would be smaller (toeholds are generally below 5%) and come without threats of hostility. Collaborative, not confrontational.
  • A source familiar with the situation tells me that KKR has a "good relationship" with management, and that the two sides have had "constructive dialog." The source adds that there is no internal talk of going hostile.
  • That may well be true, but it doesn't erase Friday morning's black-and-white threat to possibly pursue changes to Dave & Buster's management and its board of directors. If it looks like an activist and walks like an activist...

The bottom line: Certain activist firms have been encroaching on private equity's turf, moonlighting as buyout shops (hi Mr. Singer!) KKR looks to be returning the favor, although it's unclear how such efforts will impact its core, "management-friendly" business.

Go deeper: Private equity firms fear a Democrat topping Trump in 2020

Go deeper

Updated 18 mins ago - Sports

IOC: Belarus sprinter who sought refuge in Tokyo "safe"

Krystsina Tsimanouskaya of Belarus in 2019. Photo: Ivan Romano/Getty Images

Belarusian Olympian Krystsina Tsimanouskaya, who sought refuge in Tokyo, is in the care of Japanese authorities and the UN refugee agency is now involved in her case, an International Olympic Committee official told reporters Monday.

The latest: Officials in Poland and the Czech Republic have offered to help the 24-year-old sprinter, who refused national team orders to board a flight home after being taken to Tokyo's Haneda airport Sunday following her criticism of Belarusian coaches, per Reuters

Updated 1 hour ago - Sports

Olympics dashboard

Italy's Lamont Marcell Jacobs of Team Italy crosses the finish line ahead of American Fred Kerley in the men's 100m final on day nine of the Olympic Games at Olympic Stadium in Tokyo, Japan, on Sunday. Photo: Cameron Spencer/Getty Images

🚨: IOC "looking into" American Raven Saunders' Olympic podium gesture

🏃🏾: Italy's Lamont Marcell Jacobs: Reconnecting with U.S. father "gave me the desire to win" Olympic 100m sprint race.

🥇High jumpers persuade Olympic officials to let them share gold

🏌️‍♂️: Golfer Xander Schauffele wins gold for U.S. by one shot

🤸🏿‍♀️: Simone Biles won't compete in Olympic floor finals, individual vault or uneven bars

🏳️‍⚧️: Axios at the Olympics: Games grapple with trans athletes — Trans athletes see the Tokyo Games as a watershed moment

Go deeper: Full Axios coverage

Updated 1 hour ago - Sports

IOC "looking into" American Raven Saunders' Olympic podium gesture

Team USA's Raven Saunders gestures on the podium with her silver medal after competing in the women's shot put event during the Tokyo 2020 Olympic Games at the Olympic Stadium in Tokyo on Sunday. Photo: Ina Fassbender/AFP via Getty Images

The International Olympic Committee is "looking into" U.S. shot-putter Raven Saunders' gesture on the Tokyo Games podium after she won a silver medal, IOC spokesperson Mark Adams told reporters Monday.

Why it matters: Saunders told AP she placed her hands above her head in an "X" formation while on the podium to stand up for "oppressed" people. The IOC has banned protests during the Tokyo Games.