Global investment firm KKR & Co (KKR.N) announced on Thursday the successful completion of $2.5 billion in fundraising for its second private credit fund focused on the Asia-Pacific region. The fund will target privately originated performing credit investments, reflecting growing investor interest in Asia’s expanding private markets.

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Asia Credit Opportunities Fund II

The bulk of the fundraising—$1.8 billion—was secured for KKR’s Asia Credit Opportunities Fund II, with an additional $700 million raised through separately managed accounts targeting similar investment opportunities.

KKR highlighted that this marks the largest pan-regional fund dedicated to performing credit in the Asia-Pacific region, underscoring the firm’s confidence in the growth potential of private credit markets across Asia.

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Follow-Up to First Asia-Pacific Private Credit Fund

The new fund builds on KKR’s inaugural Asia-Pacific private credit vehicle, which closed at $1.1 billion in 2022. Since 2019, KKR has executed over 60 investments in the Asia-Pacific region through its Asia Credit strategy, representing roughly $8.3 billion of capital deployed and a total transaction value of $27.5 billion.

This track record demonstrates KKR’s growing footprint in Asia’s private credit market and its ability to identify high-performing, privately originated credit opportunities in diverse sectors.

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Growing Private Equity Activity in Asia

Private equity activity in the region has accelerated as capital markets warm, enabling exits through initial public offerings (IPOs). Key markets such as Japan and India have increasingly attracted investors seeking diversified opportunities in both debt and equity.

In November 2025, Reuters reported that KKR was targeting $15 billion for its fifth Asian private equity fund, which would make it one of the region’s largest fundraises for private equity. This demonstrates sustained investor confidence in Asian private markets despite global economic uncertainties.

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Strategic Focus and Market Implications

KKR’s Asia Credit Opportunities Fund II will focus on:

• Privately originated performing credit investments across the Asia-Pacific
• Sectors demonstrating strong growth potential and resilience
• Leveraging local market expertise and KKR’s global credit platform

By deploying capital in performing credit, KKR aims to provide stable returns to investors while supporting companies in the region with financing solutions tailored to their growth and operational needs.

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Conclusion

The successful $2.5 billion fundraising for KKR’s second Asia private credit fund highlights the ongoing strength and attractiveness of private credit markets in the Asia-Pacific region. With a growing track record of investments, KKR is well-positioned to capitalize on opportunities in Japan, India, and other key markets, offering investors diversified exposure to high-quality private credit assets.