HONG KONG--(BUSINESS WIRE)--
Leading global investment firm KKR today announced the final closing
of KKR Asian Fund III ("the Fund"), a US$9.3 billion fund focused on
investments in private equity transactions across the Asia Pacific
"The Asia market offers many compelling investment opportunities in
private equity given its secular growth and attractive valuations," said
Joseph Bae, KKR Member and Managing Partner of KKR Asia. "This flagship
fund is a testament to KKR's ability to drive meaningful growth and
value creation in our investee companies as a partner of choice to
leading Asian businesses, families and management teams."
Ming Lu, KKR Member and Head of Asia Private Equity, added, "We see a
diverse set of opportunities across Asia Pacific stemming from rising
consumption and urbanization trends in key markets as well as larger
carve-out and cross-border transactions in countries such as Japan. We
look forward to partnering with companies to provide unique value-add
capabilities beyond capital investment alone which generate positive
results for our stakeholders."
The Fund surpasses KKR's US$6 billion Asian Fund II to become the
largest private equity fund dedicated to investing in the region,
according to Preqin. It received strong backing from a diverse group of
new and existing global investors, including public and corporate
pensions, sovereign wealth funds, insurance companies, endowments,
family offices and high net worth individual investors.
"The Firm, along with KKR employees, committed approximately $800
million, marking it our second-largest commitment to a KKR fund. This
highlights our focus on the alignment of KKR's interests alongside our
fund investors, coupled with the excitement for the investment
opportunities we are seeing across the region," added Alisa Wood, KKR
Member and Head of Private Market Products Group.
KKR's Asia Pacific private equity platform takes a flexible approach to
investment across both traditional control transactions as well as
growth equity stakes in companies, and leverages the Firm's industry
expertise and operational capabilities to add value. Since the Firm
opened its first office in Asia Pacific in 2006, KKR has invested over
US$12 billion in Pan-Asia private equity investments in approximately 55
companies across 10 countries, establishing the Firm as one of the
region's most active private equity investors. The predecessor fund of
the Asian Fund III, KKR Asian Fund II, began investing in late 2013 and
is now fully deployed. It has generated a Gross IRR of 29.1% (net IRR of
20.6%) and a Gross Multiple of 1.5x (net multiple of 1.3x) as of March
KKR's Pan-Asia private equity portfolio is diversified by country,
industry and sector, giving KKR the ability to pivot investment themes
between both emerging and developed Asia. KKR focuses on long-term
business fundamentals, looking for companies that are market leaders in
their sectors and that would benefit from partnering with KKR for
greater growth. This strategy is led by a team of approximately 60
investment professionals — and is supported by operational executives in
KKR Capstone and capital markets executives in KKR Capital Markets —
based across KKR's seven offices in Beijing, Hong Kong, Mumbai, Seoul,
Singapore, Sydney and Tokyo.
With the closing of this fund, KKR's private equity business manages
over US$68 billion in assets under management worldwide (using
valuations for existing funds as of March 31, 2017).
KKR is a leading global investment firm that manages investments across
multiple asset classes including private equity, energy, infrastructure,
real estate, credit and hedge funds. KKR aims to generate attractive
investment returns by following a patient and disciplined investment
approach, employing world-class people, and driving growth and value
creation at the asset level. KKR invests its own capital alongside its
partners' capital and brings opportunities to others through its capital
markets business. References to KKR's investments may include the
activities of its sponsored funds. For additional information about KKR
& Co. L.P. (NYSE:KKR), please visit KKR's website at www.kkr.com and
on Twitter @KKR_Co.
KKR Capstone is not a subsidiary or affiliate of KKR.
View source version on businesswire.com: http://www.businesswire.com/news/home/20170601006750/en/
KKR Asia Pacific:
Anita Davis, +852 3602-7335
Kristi Huller / Cara Kleiman, +1 212-750-8300
Source: KKR & Co. L.P.
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