Granite Asia's Credit Fund Seizes Opportunities in Expanding Asian Market

Granite Asia, an investment firm based in Singapore, secured over $350 million in the first close of its Pan-Asia private credit fund, primarily backed by sovereign investors like Temasek. The fund, which is aiming for $500 million, expects significant growth within Asia's private credit arena, notwithstanding regulatory challenges.

Granite Asia, a Singapore-headquartered investment firm, announced on Tuesday that it raised over $350 million in the initial closing of its Pan-Asia private credit fund. The fund, called Libra Hybrid, received backing from pivotal Southeast Asian state investors including Temasek, Khazanah Nasional, and Indonesia Investment Authority (INA).

The initiative, targeting $500 million in total commitments, attracted substantial interest from global institutions and sovereign wealth funds. Already, about 30% of the capital has been allocated across six deals. Projections indicate Asia's private credit market will swell 46% to $92 billion by 2027, despite obstacles like fragmented regulations and currency risks.

Granite Asia, previously GGV Capital Asia, oversees $6 billion in management. It has made significant headway in Indonesia's tech sector, evidenced by a recent $1.2 billion investment collaboration with INA. The firm's focus on transformative growth is driven by high demand for private credit from businesses modernizing technology or exploring new markets.

(With inputs from agencies.)