Partners Group, a global private markets investor, has closed a new $1 billion private credit mandate with a major institutional investor in Asia.
The mandate includes a discretionary tranche that will be managed by Partners Group as well as co-investment capital, the firm said in a statement on Monday.
According to the statement, the client is utilizing Partners Group’s deep capabilities in designing bespoke solutions for investors and the strength of its private credit investment engine.
The open-ended evergreen structure of the mandate supports the client in building flexible, long-term exposure to the asset class across the region whilst catering to its specific deployment requirements.
The mandate will invest in senior and junior direct lending opportunities in Asia-Pacific, housing a diversified portfolio of high-quality credits spanning multiple sectors and jurisdictions.
It is noted that Partners Group’s private credit business is one of the earliest investors in Asia, with a 15-year track record in the region.
Partners Group has closed more than five mandates with major institutional investors in Asia over the last year.
This includes a EUR 800 million ($928.87 million) mandate to support a regional sovereign wealth fund in building direct private equity and infrastructure exposure across markets in Asia and Europe.
Partners Group has been designing bespoke solutions for institutional investors in Asia for decades, including investors in Greater China, Japan, Malaysia, Singapore, and South Korea across multiple private markets asset classes.
“The latest mandates that we’ve closed are further examples of institutional investors in Asia looking to build private markets exposure in their home region. We have seen this trend gain momentum recently across multiple asset classes,
“Within private credit specifically, a growing number of sovereign wealth funds and insurance companies, particularly in Southeast Asia and Japan, are increasing allocations to the asset class due to the attractive risk adjusted returns currently available compared to public fixed income portfolios,” said Kevin Lu, Chairman of Asia, Partners Group.
Andrew Bellis, Global Head of Private Credit, Partners Group, said the close of this significant new mandate will enable the firm’s client to build credit exposure within a dynamic region that is of increasing importance to the global economy.
“The concentration of highly differentiated economies in the region also creates natural diversification benefits. We are a pioneer in this market and look forward to building the portfolio,” he added.
Partners Group first established its presence in Asia in 2004 with the opening of its Singapore office, which serves as the firm’s regional headquarters.
The firm has over $40 billion in total private credit assets under management across the region in its offices in Hong Kong, Manila, Mumbai, Seoul, Shanghai, Singapore, and Tokyo.