By Benjamin Cher, The Business Times

SeaTown, owned by Temasek’s asset management group Seviora, has raised about US$900 million as of the second close of its Private Credit Fund III (PCF III), the investment manager said on Wednesday (Dec 10).

This close comes four months after its first close of over US$612 million back in August. Commitments to the fund come from existing and new investors across the Middle East, Japan, Taiwan and Singapore, with the bulk of funding for the latest close coming from private wealth channels in Singapore and Hong Kong.

“The fund is progressing in line with our internal expectations. We remain confident in achieving our fundraising milestones going into the final close,” Eddie Ong, deputy chief investment officer and head of private investments at SeaTown, told The Business Times.

The investment firm is targeting a fund size in line with prior vintages such as PCF II, which had a final close at over US$1.3 billion, and the final close of the first private credit fund at US$1.2 billion.

Private credit in the region continues to attract investor attention, even with the low penetration rate in Asia. Demand for Asia-focused private credit remains even though the broader private credit fundraising environment has moderated this year, noted Ong.

PCF III will be selective and focused on achieving a diversified sector and geographical exposure across Asia-Pacific. There will also be a strong focus on robust credit structuring, with potential transactions evaluated for impact on portfolio diversification in terms of collateral, risk profile, sector and geographic exposure.

Read more on The Business Times (subscription may be required): https://www.businesstimes.com.sg/companies-markets/temasek-owned-seatown-raises-about-us900-million-second-close-third-private-credit-fund