KKR Secures 46.4 Billion for Its Asian infrastructure
Global investment firm KKR & Co has successfully raised $6.4 billion for its dedicated fund targeting infrastructure and energy investments in the rapidly expanding Asia Pacific region. KKR, headquartered in New York, announced that this fund stands as the largest pan-regional infrastructure fund ever raised for the Asia Pacific. Hardik Shah, a partner at KKR's Infrastructure team in Mumbai, highlighted the significance of this initiative, noting that with Asia contributing over 60 percent of global growth, driven by factors like domestic consumption, productivity, rapid urbanization, and a growing middle class, the demand for new infrastructure and sustainable energy sources is poised to accelerate.
The fund by KKR garnered substantial support from a mix of new and existing global investors, encompassing public and corporate pensions, sovereign wealth funds, insurance companies, endowment funds, and asset managers. KKR outlined that the fund's scope includes various sectors such as renewables, power and utilities, water and wastewater, digital infrastructure, and transportation. Notably, the fund has already allocated more than half of its capital across approximately 10 investments.
KKR initiated its global infrastructure team and strategy in 2008, managing a substantial $56 billion in assets under management across over 80 infrastructure investments worldwide. In the Asia Pacific region, KKR has experienced organic growth, reaching around $13 billion in assets under management since its establishment in 2019. In 2021, KKR successfully raised $3.9 billion for its inaugural Asia Pacific-dedicated infrastructure fund, KKR Asia Pacific Infrastructure Investors SCSp, which held the distinction of being the largest Asia-dedicated pan-regional fund at that time.