Global investment giant KKR & Co. is moving to launch one of the biggest Asia-focused private equity funds in history, seeking $15 billion for its fifth Asian buyout vehicle, according to multiple sources familiar with the fundraising efforts. The New York–based firm began marketing the fund to investors this week, marking a major step forward in what is expected to be a highly competitive fundraising cycle across Asia’s private equity landscape.

If successful, the fund would rival some of the largest regional buyout pools raised to date and could even exceed its stated target depending on investor appetite, sources said.

---

A New Megafund as Private Equity Activity Rebounds in Asia

The timing of KKR’s fundraising comes as private equity activity is accelerating across Asia. Market conditions have improved significantly, with warming capital markets allowing smoother exits through initial public offerings (IPOs) and improving valuations in key markets including Japan and India.

KKR’s growing momentum in the region is also backed by strong recent performance. The firm has already returned more than $7.3 billion to investors this year from its Asia private equity portfolio, according to earlier Reuters reporting. Co-CEO Joe Bae noted that roughly half of all capital the firm plans to return to global investors in 2025 will come from Asia.

---

Focus on High-Growth Sectors: Life Sciences, Healthcare, Consumer and Industrials

KKR’s fifth Asia private equity fund is expected to maintain its strategic focus on fast-expanding sectors including:

• Life sciences
• Healthcare
• Consumer and commerce segments
• Financial services
• Industrials

These sectors continue to attract global private equity interest as Asia’s middle class grows, innovation accelerates, and economic conditions stabilize across major markets.

KKR did not comment on the planned fundraising.

---

Strong Track Record Fuels Confidence

KKR’s credibility in Asia is reinforced by the robust performance of its earlier funds:

• Asia Fund III and IV delivered gross IRRs above 20%, according to KKR’s latest earnings call.
• The fourth Asia fund—raised at $15 billion in 2021, still the largest ever raised for the region—has already returned 40% of its capital as of September.

The firm’s dealmaking success has included several high-profile transactions:

Recent Monetization Events

• Sold a 19.9% stake in Japanese logistics company LOGISTEED to Japan Post for 142 billion yen ($900.6 million)
• Exited Seiyu, the Japanese supermarket chain, in a deal valuing it at $2.55 billion
• Sold a controlling stake in JB Chemicals and Pharmaceuticals in India for approximately $1.4 billion

These exits have strengthened KKR’s position as a dominant force in the Asian private equity sector.

---

Balanced Regional Investment Strategy

KKR plans to continue diversifying geographically across:

• Japan
• India
• China
• South Korea
• Southeast Asia

This multi-market approach is designed to balance regulatory, macroeconomic, and currency risks while maximizing exposure to Asia’s most dynamic growth engines.

As of September, KKR oversaw approximately $80 billion in assets under management (AUM) in Asia, underscoring its strong regional presence.

---

Competitors Also Rushing to Raise Asia Megafunds

KKR’s new buyout fund comes amid a flurry of major Asia-focused fundraising efforts by global private equity rivals:

EQT

• Secured $11.4 billion in commitments for its latest Asia buyout fund
• Expected to reach a hard cap of $14.5 billion in 2026

Bain Capital

• Targeting at least $7 billion for its upcoming Asia private equity fund

Blackstone

• Currently raising $10 billion or more for its third Asia-focused buyout fund

Private equity interest in Asia continues to surge despite global macroeconomic uncertainties, thanks to resilient consumer demand, strong corporate earnings in key markets, and rising investor confidence.