Abu Dhabi, UAE— Mubadala Investment Company and KKR, a global investment firm, Monday signed a strategic partnership that will see the two firms deploy at least $1 billion of long-term capital, providing bespoke credit solutions to companies and sponsors in the Asia Pacific region.
Mubadala will deploy its capital alongside KKR’s existing pools of capital, including the recently raised KKR Asia Credit Opportunities Fund, a $1.1 billion vehicle focused on performing privately originated credit investments in the region.
In a statement, Mubadala said the partnership represents a key milestone for both organizations, as it strengthens Mubadala’s “exposure in the rapidly growing APAC credit market, while enabling KKR to significantly scale its APAC credit platform”.
Mubadala and KKR partnership aims to address this shortage of flexible capital while supporting businesses in APAC in achieving their long-term growth ambitions, the statement said.
Omar Eraiqaat, Co-Head of Credit Investments at Mubadala, said, “Expanding into the Asia Pacific region is a core pillar of our strategy as this market presents unique credit investment opportunities, driven by its rapid growth and high demand for non-bank capital.”
In APAC, KKR has deployed nearly US$3 billion in credit capital since 2019. This has included providing acquisition financing and bespoke capital solutions for companies and financial sponsors in the environmental services, real estate, education, infrastructure, and healthcare sectors.
KKR Credit has made investments across APAC, including Australia, Greater China, India, Korea, Malaysia, New Zealand, Singapore, and Vietnam. The APAC credit business is part of KKR’s approximately $178 billion global credit platform.