Private equity firm RRJ Capital, which was founded by former Goldman Sachs Group Inc banker Richard Ong, is seeking to raise up to $2bn for a new fund that will focus on private credit investments in Asia, according to a report by Bloomberg.
The report cites a fund document seen by Bloomberg as revealing that the Singapore-based firm has received initial interest from North American pension funds totaling $500m ahead of its planned January launch. According to the document, RRJ is seeking at least $1.25bn and may look to raise an additional $750 million, capping the fund size at $2bn.
The new fund, RRJ’s first pure private credit fund, will mainly provide private funding to companies and entrepreneurs operating in Southeast Asia, India and Australia, but will also be able to serve as a bridge to IPOs or strategic sales for stronger companies with below-investment-grade ratings.
RRJ has to date invested around $2bn in private credit transactions in Southeast Asia, generating investment returns of 17.5%, according to the document, with the new fund targeting an investment return rate of 15% to 18%.