Bain Capital to hit final close of $3.5b fourth Asia fund in December

Logo of Bain Capital is screened at a news conference in Tokyo, Japan September 28, 2017. REUTERS/Kim Kyung-Hoon

Global private equity firm Bain Capital LLC expects to hold a first and final close for its $3.5-billion Asia-focused fund in December.

The development was first reported by Private Equity International.

The timeline for Bain’s fund close was revealed in a public investment memorandum from the Pennsylvania Public School Employees’ Retirement System (PSERS), which is a limited partner in the latest Asia fund. Bain Capital Asia Fund IV, L.P will primarily target equity investments in the range of $100 million to $400 million in an estimated 15 to 18 investments.

PSERS says it plans to invest $200 million into the new fund, which it says is likely to be oversubscribed.

Bain Capital is targeting 10 per cent investment in the fund, of which 25 per cent is expected to be by its Asia team members.

Bain’s new fund will target investments in Asian companies across the firm’s five core industries: financial & business services, consumer, industrials, healthcare and technology, the documents show. Bain will continue to focus on investments in China and Japan but does not maintain a fixed geographic allocation and pursues investments across Asia that offer attractive risk-return opportunities.

The investment will be PSERS’ third contribution into a Bain Asia Fund. The pension fund previously committed $100 million to Bain’s $2 billion Asia Fund II, and $130 million to the $3 billion Asia Fund III. It has committed $225 million to two Bain Capital North America Funds, and over $2 billion to six Bain Capital credit funds.

All of Bain’s previous Asia Funds have generated top-quartile or near top-quartile returns on a net IRR basis, PSERS reported.

At $3.5 billion, Bain’s fourth Asia fund will be its biggest in the region. However, it pales in comparison to mega funds raised by PE firms investing in the region such as Hillhouse’s record-breaking $10.6-billion fourth vehicle closed in September and KKR’s $9.3-billion Asia fund.

Also Read:

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China’s Hillhouse raises $10.6b for Asia’s largest private equity fund

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.