[HONG KONG] Bain Capital is looking to raise billions of US dollars for its next Asia fund and a special situation fund in the region, as it moves to back private equity (PE) and credit deals in countries from Japan to India, according to sources familiar with the matter.
The investment firm plans to raise at least US$7 billion for its Bain Capital Asia Fund VI, targeting more than the amount obtained for its previous fund, the sources said, asking not to be identified because the matter is private. The company will start the move at the end of April, the sources added.
Separately, it has been raising money for Bain Capital Special Situations Asia III since November, and is targeting at least US$2.1 billion, other sources familiar said. The company is also talking with some large asset allocators for separately managed accounts tailored to specific investors, one of the sources said, adding that the fund is expecting a first closing within weeks.
Boston-based Bain Capital, with more than US$185 billion of assets, invests in everything from private equity to credit and real estate. In Asia, it tapped into the growing boom of consumer and health-care sectors in China, and is now bolstering its presence in Japan and India.
A Bain representative declined to comment.
In India, the company has backed pharmaceutical company Emcure Pharmaceuticals and Citiustech Healthcare Technology, a healthcare information provider.
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In Japan, Bain agreed to buy a 60 per cent stake in York Holdings, which consists of the supermarket and other retail businesses of convenience store operator Seven & i Holdings. It also agreed to buy medical firm Mitsubishi Tanabe Pharma.
Private equity fundraising in Asia has slowed down as the global economic outlook dims. The total amount raised last year in Asia fell to around US$50 billion from nearly US$187 billion in 2021, according to data from Preqin.
That said, top fund managers are still attracting the bulk of the money. Stockholm-based EQT has been seeking to raise US$12.5 billion for its next Asia fund, set to be one of the biggest-ever pools of private equity in the region.
While there’s a flurry of companies seeking investments, Donald Trump’s whipsawing policies and his latest tariff hikes are prompting investment managers to take pause and slow down their dealmaking pace as they assess the market. BLOOMBERG
