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In a landmark move shaping the investment landscape, private equity titan KKR, under the counsel of Debevoise & Plimpton LLP, has concluded its second Asia Pacific-focused infrastructure fund, securing an astounding $6.4 billion in capital commitments. This closure propels the fund to the zenith as the largest pan-regional infrastructure endeavor ever raised for the Asia Pacific region.

Surpassing Boundaries: The Closing of KKR Asia Pacific Infrastructure Investors II SCSp

KKR declared the finalization of the fund, christened KKR Asia Pacific Infrastructure Investors II SCSp, marking a significant leap from its predecessor, which stood at $3.9 billion in commitments during 2021, then heralded as the premier Asia-dedicated pan-regional fund.

The fund's allure drew a diverse array of backers, including prominent global investors spanning public and corporate pensions, sovereign wealth funds, insurance entities, endowment funds, and asset managers, KKR revealed in a statement.

KKR Closed $6.4B Asia Infrastructure Fund : A Testament to KKR's Prowess

David Luboff, co-head of KKR Asia Pacific and head of Asia Pacific Infrastructure at KKR, expressed pride in the achievement, noting, "The success of the fundraise is a testament to the confidence that global investors have in our ability to deliver strong risk-adjusted returns and differentiated value-add."

A Visionary Pursuit: Fueling Growth in Critical Infrastructure

The newly minted fund aims to funnel investments into critical infrastructure sectors boasting low volatility and robust downside protection, where KKR anticipates augmenting value and reaping attractive risk-adjusted returns. Sectors earmarked for investment include renewables, power and utilities, water and wastewater, digital infrastructure, and transportation.

Momentum and Milestones: A Glimpse Into the Fund's Journey

Even before its closure, KKR Asia Pacific Infrastructure Investors II has already allocated over half of its capital across approximately ten investments, the statement confirmed.

KKR Closed $6.4B Asia Infrastructure Fund : Unveiling KKR's Market Insight

Keith Kim, a partner on KKR's infrastructure team stationed in Seoul, emphasized the strength of localized teams and KKR's global expertise in navigating the complex investment landscape, stating, "Our ability to create investment opportunities and successfully fundraise in a challenging macro environment reflects the strength of our localized teams."

From Inception to Expansion: KKR's Steady Trajectory

Founded in 2008, KKR's global infrastructure team has steadily expanded, with the Asia Pacific infrastructure platform gaining prominence since its establishment in 2019. Today, the platform boasts approximately $13 billion in assets under management, marking a testament to its enduring growth and success.

The advisory team from Debevoise, spearheaded by investment management partner Andrew Ford and tax partner Stephen Jordan, played a pivotal role in guiding KKR through this momentous endeavor.