KKR close to raising Asia’s biggest-ever private equity fund after reaching $10bn mark – report

KKR has hauled in more than $10bn for its fourth pan-Asian private equity fund, putting it within a whisker of becoming the biggest-ever PE vehicle raised targeting the region.

The firm, which is eyeing up to $12.5bn for Asian Fund IV, has taken just seven months to hit the $10bn mark according to Bloomberg, which cited unnamed people it said were familiar with the matter.

KKR is now set to outdo the $10.6bn collected by Hillhouse Capital for its Asia fund in 2018, and has already outdone the $9.3bn it gathered for its own hefty third Asian Fund a year earlier.

A Reuters report from last November suggested KKR could raise up to $15bn for Asian Fund IV, but the firm appears to have reigned that in slightly, possible due to the effects of the coronavirus crisis.

The fund will target consumer, technology, and manufacturing companies across Australia, China, Japan, and India.

KKR has been on something of a spending spree since the coronavirus crisis began, despite many other PE firms battening down the hatches in terms of dealmaking.

Recent deals from the firm include buying a 55% stake in Australian pension and retirement investment business Colonial First State.

It has also recently backed debt-heavy cosmetics business Coty, and bought back into struggling German broadcaster ProSiebenSat.1 Media, six years after exiting the business.

AltAssets reported at the end of May that KKR was ready to take advantage of the huge market volatility caused by the coronavirus crisis after raising close to $4bn targeting credit opportunities.

The firm took just eight weeks to raise $2.8bn in its KKR Dislocation Opportunities Fund, and over $1.1bn for separately managed accounts, it said.

Source: AltAssets

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