Global investment firm KKR has announced the final close of KKR Asia Credit Opportunities Fund (ACOF), a US$1.1 billion fund focused on performing privately originated credit investments in the Asia-Pacific region.
ACOF intends to pursue investments primarily in performing privately originated credit, and broadly target opportunities across three primary investing themes, including senior and uni-tranche corporate lending, subordinated corporate lending, and asset-based finance investments.
At the time of close, ACOF is the largest inaugural pan-regional fund focused on performing credit and one of the largest inaugural pan-regional credit funds to have been raised for Asia-Pacific. The fund received strong support from a diverse group of new and existing investors, including public and corporate pensions, sovereign wealth funds, commercial banks, insurance companies, asset managers, private investment groups and family offices. KKR invested over US$100 million alongside external investors through its balance sheet and employee commitments.
“Our credit strategy is highly complementary to our existing equity strategies in Asia,” says Ming Lu, head of KKR Asia-Pacific. “Asia continues to benefit from favourable macroeconomic trends and long-term growth.”
In Asia-Pacific, KKR has closed 14 credit investments since 2019, accounting for approximately US$2.4 billion invested by the company and total transaction value of US$4.7 billion. The compnay is active in various markets in the region, including those of Australia, Greater China, India, Korea, Malaysia, New Zealand, Singapore and Vietnam.