SeaTown Holdings International, the alternative investment arm of Singapore state investor Temasek, said it completed the first closing of its third private credit fund with more than $612 million in commitments from global investors.
The fund, SeaTown Private Credit Fund III, attracted capital from investors across the Middle East, Japan, Taiwan and Singapore, the company said in a statement.
SeaTown, a wholly-owned subsidiary of Temasek’s asset management group Seviora Holdings, said the fund will provide tailored financing solutions to companies across Asia Pacific, targeting net returns in the mid-teens and double-digit distribution yields with structured downside protection.
Chi Kit Chai, SeaTown’s chief investment officer, said private credit plays an increasingly important role in providing income-generating assets with built-in downside protection as markets evolve.
He added that Asia Pacific offers a uniquely attractive landscape for performing credit opportunities.
The latest fundraising builds on SeaTown’s previous private credit vehicles, PCF I and PCF II, as investor demand grows for the asset class in the region.
Eddie Ong, deputy chief investment officer and head of private investments at SeaTown, said the fund’s private credit strategy focuses on sourcing proprietary transactions and structuring bespoke solutions across the region to deliver consistent, risk-adjusted returns.
The fund adopts a sector-agnostic approach and employs the same disciplined methodology as its predecessors, targeting companies across various industries in Asia Pacific.
SeaTown appointed Clifford Chance as lead fund counsel for the fundraising.
Founded in Singapore in 2009, SeaTown manages alternative investment strategies across private and public markets in Asia.
The firm offers international investors exposure to private equity, private credit, and thematic public equity opportunities in the region through its investment platform.
The fundraising comes as private credit markets in Asia continue to expand, with institutional investors seeking alternative income sources amid volatile public market conditions.
Business News Asia
