Half of the private equity capital that KKR & Co will return to investors this year will come from Asia, the global investment firm’s co-CEO Joe Bae said on Tuesday.
The move signals a strong recovery of private equity exits in the region, where high interest rates, challenging capital markets and bleak economic outlook after the coronavirus pandemic had dampened IPOs and M&A prospects and hurt returns.
“This year is going to be our big year for Asia liquidity,” Bae said at a global financial leaders’ summit in Hong Kong. “Half of our global distributions in private equity are going to come out of Asia, which really speaks to the capital market development.”
The total amount of capital returned to investors from KKR‘s Asia private equity investments has exceeded $7.3 billion this year, said a person with knowledge of the matter, who declined to be named as the information was not public.
“KKR Asia is by far, at least in private equity, our fastest growing business and the one we see the most unique opportunities in this environment,” Bae said.
KKR declined to comment.
Bae’s remarks came as Hong Kong’s capital markets have bounced back in 2025 from hitting a near decade-low a year ago, while Asia’s stock markets from Tokyo to Taipei have scaled record highs in recent weeks.
KKR‘s Asia exits this year include a $2.55 billion sale of Japanese supermarket chain Seiyu, the sale of a controlling stake in India’s JB Chemicals and Pharmaceuticals for about $1.4 billion, and a partial sale of its stake in HD Hyundai Marine Solution Co in South Korea.
All three deals reaped multiple returns from KKR‘s original investments, public disclosures showed.
Reuters
