Private equity fund-of-funds Asia Alternatives has raised $21.05 million for what looks to be a sidecar vehicle to a China-focused growth fund, its latest filing with the US Securities and Exchange Commission showed.
A sidecar fund is a pooled investment vehicle that invests alongside a main fund.
The fund, AACP China Growth Investors XIII, secured capital commitments from six investors since it started accepting investments early this month. This follows the $63.1-million close of AACP China Growth Investors XII fund in April.
Both the vehicles are managed by Asia Alternatives GP Sidecar.
Asia Alternatives is one of the largest independent Asian PE fund-of-funds, which focuses on Greater China, East Asia, Southeast Asia, and Australia. It has offices in Hong Kong, Beijing, Shanghai, and San Francisco and has over $12 billion in assets under management.
It invests with private equity fund managers across Asia and has a diversified strategy spanning buyout, growth and expansion, venture capital, and special situations funds.
The firm is currently in the market to raise Asia Alternatives Capital Partners VI, which last year received a $50-million commitment from US pension fund San Francisco Employees’ Retirement System (SFERS).
In 2017, the firm raised $1.5 billion for Asia Alternatives Capital Partners V, which had bagged a $99 million commitment from Minnesota SBI.
Asia Alternatives currently manages over $12 billion regulatory assets under management across AACP I ($515 million), AACP II ($950 million), AACP III ($908 million), and Asia Alternatives Capital Partners IV, along with its sleeve fund focused on investments outside of Japan.
It also manages AACP IV Ex-Japan Investors ($1 billion) and Asia Alternatives Capital Partners V, LP along with its parallel fund, Asia Alternatives Capital Partners V ($1.515 billion), Asia-focused private equity Funds-of-Funds (FoF), plus other related fund vehicles.
The latest fundraising comes even as PE exit value slumped in 2020 to just $3 billion from $18 billion in 2018, according to Bain & Company’s report on the Southeast Asia PE market.
The number of liquidity events also fell to eight deals last year compared with an average of 26 deals in 2015-19.