Keppel: Alpha Asia Macro Trends Fund III raised around US$1.1 billion

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Keppel Capital Holdings’ private fund management arm Alpha Investment Partners said its Alpha Asia Macro Trends Fund (AAMTF) III has closed after raising around US$1.1 billion, or around S$1.5 billion, including co-investments.

That was above the initial target of US$1.0 billion, Keppel Capital, the asset management arm of Keppel Corp., said in a filing to SGX on Thursday.

The fund’s institutional investors include pension funds, endowments and insurance companies, and include new investors and some from Alpha’s existing investor base, the filing said.

The Alpha Asia Macro Trends series of funds, which initially launched in 2007, is focused on the mega trends driving the Asia-Pacific region’s long-term growth, including urbanization, growing consumer demand and intra-regional tourism, it said.

AAMTF III will target multiple asset classes across the region’s gateway cities, including Singapore, Shanghai, Beijing, Tokyo, Sydney, Melbourne, Brisbane and Seoul, it said, adding it would seek out retail and accommodation assets, offices, business parks and logistics facilities.

So far, the fund has made investments in Shanghai, Tokyo and Brisbane, and once it is fully leveraged and invested, it will have assets under management of around US$2.4 billion, or around S$3.3 billion, Keppel Capital said.

In December, the fund made its first divestment, selling The Kanda 282 in Tokyo, after raising the average rental and improving the property’s efficiency during its 28-month holding period, it said, adding the internal rate of return was around 25 percent on the asset’s sale.


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