By Natalie Koh, Pensions & Investments
Private equity is set for a more positive 2025, with institutional investors focusing on managers who invest in businesses that generate cash flows.
At a Seviora Group media roundtable, SeaTown’s Managing Director for Private Equity, Dickson Loo, shared his views on private markets in Asia Pacific alongside Seviora Group and Azalea Asset Management. They discussed how capital markets are opening up, and with inflation moderating and supportive interest rates, IPO opportunities are on the horizon.
“Obviously the capital markets are opening up a little bit, and I’m optimistic that with inflation moderating and interest rates (being supportive of) the stock market, this will provide IPO (opportunities),” said Dickson.
“In Southeast Asia, there are about 70 million SMEs that contribute about 45% of the region’s GDP. Having spoken to business owners in this segment for over a decade, we do see that there is a great acceptance in terms of using private equity as a source of funding,” he said.
“Therefore, I (would) say that business owners, who have been traditionally a bit more hesitant, are a lot more sophisticated, not just on the private equity side, but also on the private credit side. And this is really driving growth in this segment,” he added. “We are also quite excited about this segment. We see a lot more interest moving into the segment because there is quite a lot of dry powder looking to deploy in Southeast Asia.”
Read the full article by Pensions & Investments here (subscription may be required): www.pionline.com/alternatives/private-equity-returns-investing-cash-flow-positive-firms-say-temasek-backed-asset
The Asset, By Yuki Li
At Preqin’s Private Equity, Venture Capital & Private Debt in 2025 webinar in January 2025, our Deputy CIO and Managing Director for Private Investments, Eddie Ong, shared his insights on key trends and opportunities in Asia Pacific Private Markets.
Eddie highlighted that as developed private credit markets undergo significant shifts—marked by declining risk-free rates and narrowing credit spreads—investors are increasingly turning to Asia. Speaking to some of the unique benefits available to allocators, he explained, “In Asia, credit structures are typically more diversified, with strong credit governance and protection through hard collateral. This creates significant value for investors looking at Asia private credit from a risk-adjusted perspective.”
Read the full article by The Asset here (subscription may be required): www.theasset.com/article/53282/global-private-capital-fundraising-shrinks