(Bloomberg) -- Seviora Holdings, an asset management firm owned by Temasek Holdings Pte., plans to buy a minority stake in private credit fund ADM Capital, according to a statement.
The move comes as Seviora expands and enhances its private credit offering across the region, the statement said, without giving details. The partnership, subject to regulatory approvals, is expected to be completed in the fourth quarter.
The $1.7 trillion global private-credit market is fast becoming a serious rival to mainstream lending by offering higher, floating rates of return. While Asia Pacific’s share of the global market remains relatively small, its growth is now outpacing that of other regions, according to HSBC Holdings Plc.
Firms have formed partnerships to bolster their private credit businesses in Asia. Goldman Sachs Group Inc. obtained $1 billion from Abu Dhabi sovereign wealth fund Mubadala Investment Co. in February to pursue such deals in the region.
France-based asset manager Tikehau Capital SCA in the same month announced its first private credit fund in Asia in partnership with Singapore’s UOB-Kay Hian Holdings Ltd. Singapore’s state investment firm Temasek is one of the stakeholders in Tikehau.
©2024 Bloomberg L.P.
