Creador V, which has a targeted size of $600 million, will invest in middle-market companies operating across business services, consumer goods and services, healthcare, pharmaceuticals, financial services, and manufacturing, in markets such as India, Indonesia, Malaysia, the Philippines, and Vietnam, ADB said.
The fund may also selectively invest in Bangladesh, Singapore, Sri Lanka, and Thailand.
“As part of ADB’s investment, Creador will adopt gender initiatives to promote greater financial inclusion of women through investments,” the development bank said.
DealStreetAsia reported in July last year that Creador had held the first close of its fifth fund at $500 million. The fund is understood to invest in 15 deals, writing cheques between $30 million and $50 million.
In an earlier interview with DealStreetAsia, Brahmal Vasudevan, founder and CEO of Creador, had said that the firm targeted a 25% return per annum for the fifth fund.
In June 2021, Creador picked a 30% stake in Malaysia’s Loob Holding, which owns the Tealive bubble tea brand, before injecting $73 million in Sapphire Foods India Ltd, in August.
In September 2021, Brahmal told DealStreetAsia that the firm was working on a deal with a Philippine-based digital bank.
Creador V is ADB’s third investment in the Kuala Lumpur-headquartered private equity firm, following investments in Creador III in 2016, and Creador IV in 2018.
Creador IV, which had a size of $580 million, was launched in 2019. The firm’s first three vehicles were closed at $130 million, $331 million, and $419 million, respectively. Creador’s previous investors include Hamilton Lane, Siguler Guff, and Quilvest.
Creador has raised five private equity funds, totaling approximately $2 billion in committed capital as of December 2021, according to ADB.
Separately, ADB also announced that it has committed $39.5 million into Northstar Equity Partners V Limited, the latest fund by Gojek backer Northstar Group.
“ADB will also provide guidance as the Northstar Group implements a more robust environmental, social, and governance approach and looks to enhance gender equality in its operations and across its portfolio of investee companies,” ADB said.