The global investment firm's new flagship private equity fund adds to its multi-asset platform and strengthens its investment position across the region.
KKR has raised $15 billion for its fourth Asia-focused investment fund, the region's largest private equity fund, it announced in a statement on Tuesday.
The fund targets growing consumption and urbanization trends in Asia, as well as corporate carve-outs, spin-offs, and consolidation as companies look to optimize their portfolios. This strategy is led by a team of approximately 70 investment professionals based in eight offices across six major Asia Pacific markets.
Strong Demand
«Asian Fund IV» exceeded its target size, said to be $12.5 billion, to reach its hard cap for fund investors’ commitments. It received strong support from a diverse group of new and existing global investors, including strong representation by Asia Pacific-based investors, KKR said.
«The opportunity for private equity investment across Asia Pacific is phenomenal. While each market is unique, the long-term fundamentals underpinning the region’s growth are consistent,» Hiro Hirano, KKR co-head of Asia Pacific private equity, said in the statement, citing the demand for consumption upgrades, fast-growing middle class, rising urbanization, and technological disruption.
Important Region
Asia Pacific is an integral and increasingly important part of KKR's investment strategy. Earlier this year, the firm closed two pan-Asian funds – the $3.9 billion Asia Pacific Infrastructure Investors Fund and the $1.7 billion Asia Real Estate Partners Fund.
KKR launched its Asia Pacific platform in 2005, and today has over $30 billion in assets under management in the region. The firm's Asia Pacific private equity portfolio currently includes investments in approximately 60 companies in 11 countries across the region.
