Indonesia's Saratoga closes fund three at $600m

The initial fundraising target was $450 million but industry participants expected the GP to reach or exceed its hard cap of $550 million. UBS acted as placement agent.

Starling Group, a Dubai-based investment firm owned and managed by the Jawa family, has confirmed that it is among the LPs in Fund III. Investors in Saratoga's second fund, a $152 million vehicle that closed in 2009, included UK development finance unit CDC Group, International Finance Corporation and University of Texas Investment Management.

Founded by Edwin Soeryadjaya and Sandiaga Uno (pictured) in 1998, Saratoga is one of few established GPs in Indonesia. The firm made its name with investments such as Adaro Energy, which became the country's second-largest coal company and raised $1.3 billion through an IPO in 2008, and energy and natural resources remain a focal point.

Recent deals include a $112 million commitment, alongside IFC, to Medco Power International, which spun out from Medco Energi.

Rising investor interest in Indonesia has seen a host of new GPs enter the market, but the fundraising environment has proved challenging. One firm, Fairways Capital, has abandoned plans to raise a fund in favor of working on a deal-by-deal basis in order to build up a track record. Larger players have no such problems. Northstar Pacific Partners closed its third fund last year at $820 million.

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• Topics
• Fundraising
• Southeast Asia
• Saratoga Capital Group
• Fundraising
• Indonesia
• Southeast Asia