HONG KONG, April 16 (Reuters) - China's CITIC Private Equity
(CPE) aims to raise $3 billion in a new dollar-denominated fund
and has reached a first-close of $1.8 billion, a person with
direct knowledge told Reuters on Friday.
CPE is planning to complete the fundraising by year-end,
said the person, who declined to be named as the information is
After the first-close, which happened a week ago according
to the source, CPE can now start deploying capital from the new
fund while investors can continue to commit funds to it.
Some of the firm's existing investors, including Singaporean
state investors GIC and Temasek, re-upped
their commitments to the new fund, said the person.
CPE, which counts ride-hailing firm Didi Chuxing and JD
Health International Inc in its portfolio, did not
immediately respond to a query for comment.
Its fundraising comes as PE firms in Asia tap markets flush
with liquidity due to authorities' post-pandemic economic
stimulus measures, while pension funds and other investors hunt
better returns in a low interest rate environment.
Asia-focused funds raised $126 billion in 2020, down 39%
year-on-year and nearly 50% less than the average of the
previous five years, Preqin's data showed.
The total is likely to rise this year as more funds are
launched with market conditions also becoming favourable for PE
firms to exit portfolio companies. As of last week, 108 new
funds have raised $53 billion, Preqin said.
KKR & Co Inc earlier this month said it raised $15
billion for its fourth Asia-Pacific focused fund.
Hong Kong-based Baring Private Equity has also recently
launched a new fund targeting $8.5 billion, according to
separate people with direct knowledge. The firm declined to
Founded in 2008, CPE was the investment arm of China's top
brokerage CITIC Securities but was spun off in 2018, when it
raised a $2.3 billion dollar fund. It now has over 100 billion
yuan ($15 billion) worth of assets under management, its website
(Reporting by Kane Wu; Editing by Lincoln Feast)