One of the world's largest private equity funds is pushing further into China, as a rival U.S. fund looms.
KKR is opening its second office in China by setting up in Shanghai. The legendary U.S. private equity recently raised $9.3 billion for an Asia-Pacific fund – the region's largest such fund.
In KKR's crosshairs? Chinese companies looking to expand abroad through deals.
«China's dynamic economy continues to create exciting investment opportunities in companies with the ability to be domestic and international leaders in their respective sectors,» KKR's head in China, Paul Yang, said.
Third China Office
Founded in 1976 by former Bear Stearns leveraged buyout bankers Jerome Kohlberg, George Roberts, and Henry Kravis, KKR effectively launched private equity. It now manages $140 billion in assets.
Kohlberg fell out with his partners and left to start his own, rival private equity firm in 1987. Roberts and Kravis, who are both 73, recently laid out a road map for their succession at KKR.
The Shanghai office will add to an eight-city presence in Asia, including Beijing and Hong Kong.
Rival Blackstone Moves
KKR has been active in Asia in real estate, consumer products and services, environmental sciences, education, financial services, health care and technology.
Rival Blackstone is attempting to raise as much as $3 billion for its own Asia buyout fund, which would focus on high-end manufacturing and healthcare, «Reuters» reported last month.
