KKR raises $6 billion for biggest Asia infrastructure fund

SINGAPORE, Oct 29 (Reuters): KKR & Co Inc has raised nearly $6 billion for its second Asia Pacific infrastructure fund at the first-close, marking the biggest ever private equity fundraising for the sector in the region, two sources familiar with the matter told Reuters.

The record commitments to the fund just seven months after its launch underscores investors' appetite to buy into diversified infrastructure assets at a time when soaring inflation and higher interest rates have depressed deals in many sectors.

The latest fundraising comes after the U.S private equity firm deployed most of the $3.9 billion capital raised in its debut Asia infrastructure fund that reported its final-close in January 2021, said one of the sources.

KKR declined to comment. The sources declined to be named as the information has not been made public.

The first-close of a private equity fundraising process is seen as a key milestone that highlights the fund has reached a minimum threshold and can start making investments.

Globally, sovereign wealth funds, endowments, insurance firms, pension funds and family offices have been pouring money into infrastructure vehicles to get exposure to assets which are seen offering, stable, long-term and inflation-beating returns.