The Asia-focused mid-market buyout fund by EQT would focus on the technology, services, and healthcare sectors across Asia, prioritising India, Southeast Asia, Japan, and Australia
Dev Chatterjee Mumbai
Swedish private equity major EQT is planning to invest up to $5 billion in India this year even as its arm EQT Private Capital Asia closed a new mid-market growth fund, which received $1.6 billion in total fund commitments from investors.
EQT has not set deployment targets by geography for the new fund but expects India to be the largest market for the mid-market growth (MMG) fund. The fund has made four investments to date, two of which have been in Indian companies.
Click here to connect with us on WhatsApp
EQT manages assets worth $250 billion worldwide and has invested over $8 billion in more than 30 companies in India, including HDFC Credila, Indium Software, Indira IVF, and O2 Power.
Similarly, Singapore’s Temasek, which has invested $17 billion in India, plans to invest another $9-10 billion in India in the next three years in the healthcare, IT, SaaS, and fintech sectors, revealed its executives in July last year. Canada’s Brookfield Asset Management is also a large investor in India’s telecom tower infrastructure, realty, and renewable energy sectors, with bets worth $25 billion and plans to invest $10 billion in India over the next three to five years.
The Asia-focused mid-market buyout fund by EQT would focus on the technology, services, and healthcare sectors across Asia, prioritising India, Southeast Asia, Japan, and Australia. This is a natural extension of EQT’s established large-cap buyout platform in Asia. EQT’s Private Capital strategies across the world have now completed fundraises in 2024 that combine to nearly $29 billion in total commitments, a statement by EQT said.
EQT said the MMG strategy invests in high-growth mid-market companies across Asia. “The region is the epicentre of global growth, expected to contribute 60 per cent of global GDP by the end of 2024. Yet Asia’s private markets are relatively underserved – for example, in 2023 just 9 per cent of capital raised globally went to Asia-focused funds. This dedicated strategy aims to help address this financing gap,” it said in a statement.
MMG is a natural extension of EQT Private Capital Asia’s large-cap buyout strategy and one of the few scaled pan-Asian investment strategies dedicated to mid-market control buyouts. It employs the same thematic investment approach, centred on the technology, services, healthcare, and technology services sectors. It leverages EQT’s pan-Asian presence – with more than 100 investment professionals across eight offices – with a particular focus on India, Southeast Asia, Japan, and Australia.