Singapore-based Azalea Investment Management‘s third buyout-focused private equity fund has reached the first close at $262 million, according to an announcement.
The latest fund, Altrium Private Equity Fund III (Altrium PE Fund III), secured anchor commitments from institutional investors and received strong support from high-net-worth individuals, the firm said.
Azalea did not disclose the target for the said fund, which has so far brought the total assets managed under its Altrium platform to more than $2.3 billion.
The first close of Altrium PE Fund III comes more than three years after Azalea closed its second Altrium fund at $805 million. The firm closed the first Altrium fund at $650 million in 2019.
In a statement, Azalea said Altrium PE Fund III will maintain its strategy of investing in a diversified portfolio of private equity funds with proven track records across market cycles, including periods of volatility and stress.
“Amid tariff wars and geopolitical tensions, our secondaries capabilities and mid-market focus position us well to navigate today’s complex investment landscape,” said Chue En Yaw, CEO and Chief Investment Officer of Azalea.
Altrium PE Fund III is part of the Altrium platform, which provides accredited investors with access to top-performing private equity fund managers globally through co-investments alongside Azalea.
The platform, per the announcement, aims to address common barriers to private equity investing while offering exposure to both primary and secondary markets.
Alongside the buyout-focused Altrium PE Fund, the platform also includes the Altrium Co-Invest Fund, Altrium Growth Fund, and Altrium Sustainability Fund.
In October, Azalea announced the final closes of two funds—Altrium Co-Invest Fund I (ACF I) and Altrium Growth Fund I (AGF I)—raising a combined $480 million. Both the funds surpassed their target of $200 million each.
ACF I received $268 million and AGF I closed with $212 million in commitments.
Azalea Investment Management, the management arm of the Azalea Group, is a wholly owned subsidiary of Azalea Asset Management (AAM). AAM is fully owned by Seviora Holdings, a wholly owned subsidiary of Temasek.
The first close of Altrium PE Fund III comes as PE fundraising across Southeast Asia remained subdued in 2024, reflecting persistent caution among limited partners (LPs) despite the region’s long-term growth potential.
According to a recent DealStreetAsia report titled SE Asia Private Equity Funds: H2 2024 Review, only four Southeast Asia-focused private equity funds secured final closes in 2024—the lowest since at least 2018.
Collectively, they amassed $1.32 billion in capital from limited partners, a seven-year low. Limited exit opportunities and low DPI levels were identified as key reasons for the cautious investor sentiment.
