Private equity manager NewQuest Capital Partners has formed NewQuest Asia Fund I, a fund focused on investment opportunities in Asia. The fund is backed by a syndicate of limited partners consisting of Paul Capital, HarbourVest Partners, LGT Capital Partners and Axiom Asia.
Simultaneously with its formation, the fund acquired substantially all of Bank of America Merrill Lynch’s non-real estate private equity portfolio in Asia. The Bank of America Merrill Lynch Asia private equity team will continue to manage the portfolio as part of NewQuest Capital Partners.
The acquired portfolio consists of over 20 growth-equity and buyout interests primarily in Chinese and Indian companies focused on domestic economies. The Fund will also have capital reserved to make new and follow-on investments with an emphasis on the purchase of direct secondary equity positions in Asia.
The NewQuest Capital Partners private equity team will be led by Darren Massara (pictured), as Managing Partner, and Amit Gupta, Bonnie Lo, and Min Lin as Partners – all formerly of Bank of America Merrill Lynch’s Asia private equity team.
"Darren and his partners are one of the most promising teams in the Asian private equity market with deep knowledge and understanding of the region and its growth prospects. They have built a portfolio of assets which we believe has a very attractive profile and we look forward to working with them and our valued partners in the buyer syndicate to maximize the value of these investments for our investors," says Bryon Sheets, a Partner at Paul Capital.
Massara adds, "The partnership with Paul Capital, HarbourVest, LGT Capital Partners and Axiom Asia will allow our team to continue to harvest our existing portfolio on a seamless basis, as well as execute on our unique investment strategy for the Asian market. We look forward to our future as NewQuest Capital Partners."
David Atterbury, a Principal at HarbourVest, says: "NewQuest Capital Partners has demonstrated an ability not only to build a strong portfolio but also to create substantial value from inherited assets. As an investor in NewQuest Asia Fund I, LP we look forward to partnering with the team as it expands this strategy to Asia."
