Singapore-headquartered private equity firm KV Asia Capital is looking to raise about $300 million for its second fund, KV Asia Capital Fund II, DEALSTREETASIA has learnt.
The firm has started discussions with its existing investors regarding the launch of the second fund, which is likely to take place in the second quarter of 2019. KV Asia Capital is currently working on the last few investments from its $263-million first fund.
When contacted, KV Asia Capital declined to comment on its fundraising activities.
The firm’s first vehicle, closed in late 2013, had exceeded its $250-million target after gathering commitments from pension funds, endowments, financial institutions, fund of funds and family offices.
KV Asia Capital’s first fund completed two exits in 2017. Orange Valley Healthcare (OV), which it had acquired in April 2014 for an undisclosed sum, was bought by Singapore Press Holdings Limited (SPH) for S$164 million ($120 million).
The PE firm’s website lists Singapore-based premium chocolate maker Aalst Chocolate as the second of its former investments, after OV. KV Asia Capital had picked up a stake in Aalst in March 2015 for an undisclosed sum.
In Malaysia, the investment firm has stakes in hypermarket chain TF Value-Mart Sdn Bhd, DXN Holdings, and APIIT Education Group. The PE firm took over APIIT from Malaysia’s state-owned private equity firm Ekuinas Nasional Bhd, which divested its entire stake for $180 million.
Founded in 2010, KV Asia Capital focuses on mid-size companies in Southeast Asia. The firm was launched by Karam Butalia, the former global head of Standard Chartered Private Equity (SCPE), and Vibhav Panandiker, previously of SCPE and JP Morgan Private Capital Asia.
Several mid-market private equity firms in Southeast Asia are currently on the road to raise funds, including Malaysia-based Creador, which aims to hit the $550-million hard cap for its fourth fund in the first half of this year. Singapore-based Southern Capital is reportedly seeking to close its fourth fund at $500 million this year.
Kuala Lumpur-headquartered Navis Capital Partners is expecting to hit the first close of its eighth fund at $1 billion in April. The $1.75-billion fund has a hard cap of $1.9 billion.