Analysis
Beyond banks: Alternative financing in India
Recognizing India’s demand for financial products that involve more than just equity, traditional PE firms are targeting structured credit, joining distressed players that used to call the territory their own.
Power play: India's power sector
Private equity investors are less bullish on India’s power sector in the light of widespread negative investor sentiment, but lower valuations and long-term fundamentals still offer attractive entry points
India exits: Sticking point
India’s private equity industry is caught in a bind: LPs are wary of committing capital to GPs without evidence of exits, but weak capital markets – and in some cases an unwillingness to sell – are limiting liquidity
VC tackles China dining: Fast food, quicker expansion
Qiming Venture Partners decided to create a China casual dining chain from scratch in order to replicate an outsourcing model that has worked in other industries. Cloud 9 is now aggressively building out its network
Co-investment: Friends with benefits
Co-investment deals have been on the rise in recent years, enabling GPs to take on bigger deals and offer LPs fee-less returns. What is driving this trend and are such deals always a good idea?
Auctions: The new normal
Private equity firms love selling assets via auction but hate buying them through such channels. As Asian company owners become more sophisticated, bidding contests for large assets are becoming more frequent.
PE & PR: Private equity's public face
Private equity is more entrenched and better understood in some Asian markets than others. What do the various stakeholders - entrepreneurs, government, media, public - make of the asset class?
PE & PR: Sustainable alpha
Increasing numbers of PE firms are upping their commitment to environmental and social governance issues at future and existing portfolio companies. What’s their motive?
PE & PR: A good citizen
Private equity globally is under more scrutiny from more directions than ever before, placing a higher value on good branding and reputation. Does the asset class also suffer from the same profile problem in Asia?
Asia fundraising: In Volcker's shadow
With the Volcker Rule and Basel III compliance forcing US financial institutions to pull back from private equity, some Asian GPs are in a state of flux. New fundraising strategies are required
Asia fundraising: Emerging LPs
Led by a clutch of sovereign wealth funds, Asia’s emerging LPs are looking to boost their alternatives exposure. Fund managers in search of allocations must find out what makes these institutions tick
Asia fundraising: A divided market
Global and local players are in the market trying to raise new regional and country vehicles. The former can rely on institutional relationships and IR might to get the job done. The latter face a resources squeeze
Asia buyouts: The privatization play
Take-private transactions have created headlines in a climate of low public market valuations. Companies are being targeted in Australia, Japan and the US, but a bid doesn’t necessarily result in a deal
South Korea VC: State subsidies
South Korea’s venture capital industry is the fourth-largest in the world thanks to generous government support. But is this support helping or hindering the development of self-sustaining investment ecosystem?
Asia's untapped VC market
Southeast Asia has potential as a venture capital market, but fragmentation and the absence of large, self-sustaining entrepreneur communities are obstacles to growth
A slice of the pie: Selling a stake in the GP
PE firms have been selling stakes in themselves for as long as they’ve existed. The invasion of first-time funds into Asia creates extra opportunities for LPs keen to participate in GP economics
Start-up investment: Fallen angels
The scarcity of seed capital in most of Asia has left the region’s entrepreneurs crying out for angel investors. What’s stopping them from flooding in?
Great expectations: Buyout firms in Southeast Asia
Global buyout firms are deploying more resources in Southeast Asia and expect to see stronger deal flow. But are there enough mid- to large-size transactions to go around, and will they come at reasonable prices?
3Q analysis: The bottom falls out of RMB fundraising
China US dollar funds attract more capital than renminbi vehicles; trade sales and secondary buyouts continue to gather pace; positive early signs for China buyouts
Fund-level due diligence: More than ticking boxes
Corrupt deals, agreements with the dishonest and lackluster returns can all be avoided by doing sufficient due diligence on a GP. But advisers say LPs in Asia sill aren’t doing enough
Korea's outbound mandate
Despite numerous government initiatives promoting overseas M&A, Korean conglomerates outside the energy space are still relatively conservative. Can private equity help turn the tide?
Australian infrastructure: Changing tastes
Australia’s superannuation funds are active infrastructure investors, but the size and nature of commitments to the asset class are influenced by past experience, available resources and risk appetite
Private equity taps Indian water
India is thirsty for capital to ease water shortages. The infrastructure investment opportunity is enormous, but the regulatory environment remains uncertain
Indian realty GPs show their distress
India’s real estate industry is facing tough times amid rising debt costs and tighter credit access. But why are the private equity owners more distressed than the assets themselves?