With over $1.3 billion in capital commitments, SeaTown Holdings International, a wholly-owned subsidiary of Temasek’s asset management group Seviora Holdings, announced on Tuesday the SeaTown Private Credit Fund II (PCF II) final close.
The second fund’s total commitment size exceeds the $1.2 billion obtained for SeaTown Private Credit Fund I (PCF I), according to a statement from SeaTown. This contributes to the company’s growth momentum for its private credit strategy.
“This milestone highlights not only the growing appetite for Asian private credit in institutional portfolios around the world but also reflects the confidence and trust in SeaTown’s approach,
“Our private credit team has demonstrated a clear ability to repeatedly source, structure, and execute complex and bespoke deals across industries. We are excited to continue
executing on our proven investment strategy to deliver attractive risk-adjusted returns to our investors,” said Patrick Pang, Chief Executive Officer, SeaTown.
It is mentioned that PCF II received interest from a wide range of new limited partners, including insurance companies, endowments, and families of ices, in addition to SeaTown’s current investors.
This follows a determined attempt to expand and broaden SeaTown’s investor base while fostering longer-lasting connections with foreign investors.
Interestingly, one of the top institutional investors in the Middle East committed to the fund.
As per the statement, PCF II has been meticulously crafted to cater to the distinct requirements of investors who prioritize income, while maintaining the same structured and proactive approach as its predecessor.
The fund’s primary objective is to act as a perfect foundational element for multi-asset portfolios that seek income, capital preservation, and diversification. It does this by concentrating on offering highly customized financing solutions and seizing proprietary performing credit opportunities in Asia Pacific.
Throughout its fund life, the closed-ended vehicle aims to provide investors with a double-digit distribution yield and an appealing net return in the mid-teens. It will allocate capital in an industry-neutral manner.
The company launched PCF II at the end of 2022 to take advantage of an expanding pipeline of alluring lending opportunities throughout Asia Pacific, following the successful deployment of PCF I.
As of PCF II’s final close, SeaTown’s private credit strategy is in charge of managing assets totaling more than $2.5 billion between the two funds.
For PCF II, Clifford Chance was the primary fund counsel.
Established in 2009 and based in Singapore, SeaTown is a prominent alternative investment company with a strong focus on Asia that possesses extensive knowledge of both public and private markets.
Through its alternative investment fund platform, the company exposes foreign investors to the region’s thematic absolute return public markets, private credit, and highly specialized private equity opportunities.
