Investcorp and Fung Investments have teamed up with food brand distributor China Resources to launch a new private equity platform dedicated to food brands in Asia.
The platform is looking to raise a fund of up to $500m, and has already received $300m of commitments from the three firms.
The fund is set to invest in food brands across Asia, but primarily in China, Singapore and greater Southeast Asia.
The platform will target fast growing businesses with defensive franchises as well as new brands in niche sectors such as condiments, packaged food and healthy snacks.
China Resources is an owner and distributor of food brands in Greater China, while Fung Investments is the family investment arm of Fung Group owners Victor Fung and William Fung.
Investcorp Co-CEO Hazem Ben-Gacem said, “Investcorp has been actively growing our presence in Asia as part of our strategy to expand and diversify our global reach and offerings. We are extremely proud to enter into this partnership with two blue-chip investors and operators in Asia, which represents a key step to achieving our long-term growth ambitions in the region.
“We are investing not only in what we consider to be the world’s largest and fastest growing consumer market, and in one of the most defensive sectors, but also in partnership with some of the most respected entities in China. Together, I believe that we will set the foundation for what we hope will be one of the most successful investment platforms dedicated to Asian food brands.”
Investcorp recently raised INR10bn ($145m) for final close of its debut India private equity fund in July, six months after the firm launched a dedicated operation in the country.
Last week, The buyout house also agreed a structured secondary deal with HarbourVest for its $866m MENA private equity investment portfolio.
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