Beyond the buyout is our weekly newsletter dedicated to private equity developments across Asia Pacific, with a special focus on Southeast Asia.
This edition captures the decline in 2024 private equity deal value in China and its fallout across the region; the rise of thematic funds in India and top PE updates from APAC.
Shifting sands and glimmers of hope
Greater China may be losing its grip as the largest private equity market in the Asia Pacific region.
As recently as 2020, China represented half of Asia-Pacific deal value, however that share fell to just over one-fourth (25%) last year, according to Bain & Co’s Global Private Equity Report 2025.
Global buyout deal volume and value bounced back in 2024, following two years of sharp declines. In Asia-Pacific, buyout and growth deal value went up 11% YoY, rebounding at a much slower pace than its North America and Europe counterparts.
While global private investors may be coming out of their shells, picking up the pace on distributions and exits, sentiment concerning China remains weak, causing a ripple effect on Asia Pacific’s recovery. Several countries in the region had double-digit growth, but were ultimately overshadowed by slower growth in China, the report said.
Even Japan, arguably the most favoured market in the region by GPs and LPs alike, took somewhat of a hit. The market suffered in 2024 in comparison to a breakout year in 2023.
However, it is not all gloom and doom. Buyout fundraising, the industry’s largest asset class, declined in every region—except Asia—after hitting record numbers the year prior.
Buyout continued to capture more than a third (38%) of all private fundraising, and Asia-Pacific came in hot with 13% higher YoY in buyout capital raised. Meanwhile, North America took the biggest hit with a 34% decline and Europe remained flat.
The fundraising winter has claimed many victims, with several fund managers struggling to close their initial targets or on time. But diligent processes and frameworks, well trained talent and successors, transparent investor relations, as well as partnerships with sector leaders can help managers emerge strong after the current cycle turns, an Asia-based partner at an advisory firm told DealStreetAsia in December, adding that managers who have done well and are set up to do well can still raise money.
Thematic funds in vogue
A raft of thematic funds are making a beeline into the Indian market, hoping to land a windfall in the years to come.
“The investment landscape in India is at a stage where there is great value for domain expertise,” said Sameer Nath, chief investment officer and head of the VC and PE business at 360 One Asset. The fund is slated to be closed over the next few months.
The PE firm is also betting big on separate funds for industries such as consumer, financial services, technology and industrials/manufacturing, except the early- to mid-stage and pre-IPO space, where it has a sector-agnostic approach.
“We are cashing in on the concept, roping in LPs accordingly for different segments. In healthcare, for instance, we have stalwarts who are great at deal sourcing, deal evaluation, co-investing, etc.,” said Nath.
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Mekong Capital exits Rever
Vietnam-based Mekong Capital has quietly exited its proptech investment in Rever. The PE firm injected over $10 million in the firm in 2021.
VinaCapital Ventures, an early backer of the proptech startup, is understood to be also exiting the company, while GEC-KIP Technology and Innovation Fund (co-managed by Golden Equator Capital and Korea Investment Partners) continues to stay invested.
Mekong Capital, through Blossoming Earth Pte Ltd, held 58.5% common shares in Rever, per a filing obtained by DealStreetAsia.
For Mekong, Rever is another unannounced exit following jewelry retailer Precita, which has closed its business.
The proptech space in Vietnam is struggling with slow growth which has led to shutdowns and pivots in some cases. SoftBank Ventures-backed Propzy was closed in 2022 while Y Combinator-backed Homebase and MGi Proptech are understood to have pivoted their model.
Top PE developments in APAC
Interviews
Partners Group co-founder Urs Wietlisbach believes that the era of new entrants has ended. With US pension plans having reached their allocation limits, the key question on their minds is “What more can be offered?” Wietlisbach emphasised private infrastructure as the sector with the greatest growth potential, forecasting a three- to fourfold expansion driven by decarbonisation and digitalisation trends.
ADM Capital is seeing Asian LPs double down on private credit funds from the region, following a push for intra-Asian investments. Traditionally, investors from the US and Europe are what have made up ADM’s LP base, but there has been – what managing director David Whyte describes – “a clear shift”.
Fundraising
Homegrown PE firm ChrysCapital has raised $2.1 billion for its latest fund, marking the largest-ever capital raising by an Indian buyout firm, Bloomberg reported. The latest fund beats the record $1.7 billion raised by Kedaara Capital in 2023 and is about two-thirds bigger than ChrysCap’s predecessor.
Axiom Asia closed its seventh flagship fund-of-funds, Axiom Asia 7, at $1.28 billion. The firm earlier targeted a $1.8 billion corpus for the vehicle. Asia Axiom 7 will continue to invest in primary, secondary, and co-investment opportunities.
TRS of Texas committed to invest $150 million into EQT’s ninth Asia buyout fund. The commitment to BPEA IX, which has a $14.5 billion hard cap, was part of a $450-million injection into the fund that TRS of Texas approved in February.
Carlyle’s sixth Asia flagship fund raised an additional $340 million from at least 39 investors, per filings this week. The installment was reported to be targeting $6 billion last year.
Deals
All eyes are on Temasek’s proposed funding in the snacks division of India’s Haldiram’s, which goes on to signal increasing global investor interest in India’s F&B industry. The transaction could set the stage for Haldiram’s potential IPO. Earlier, Blackstone, and Bain Capital were in the fray to acquire a stake in the company.
MDI Ventures’s attempt to sell its startup portfolios has drawn two secondaries giants and a Hong Kong-based buyer of secondhand stakes in private equity-backed companies.
Brookfield-owned Healthscope is preparing for a potential sale after reaching a deal with its lenders to pause interest payments, confirming an earlier report by AFR about the company entering into forbearance.
IPOs and exits
Bain is eyeing an IPO for the Japanese supermarket and retail business that it bought from 7-Eleven’s parent company for $6 billion.
Temasek-backed Alpha Intelligence Capital announced Forcepoint has acquired their portfolio company Getvisibility. This marks the fund manager’s third exit in the cybersecurity space, per a LinkedIn post. AIC invested in Getvisibility’s Series A round in 2022.
People moves
Actis has promoted Rahul Agrawal to partner. Based in Singapore, Agrawal will handle renewable energy investments for Actis across SE Asia after the firm said it experienced significant deal activity in the region last year.
What to look out for
CVC Capital Partners is slated to have its first earnings call of the year on March 20.
