Private equity briefing: Southeast Asia - June 2018

Private equity (PE) deal value skyrocketed in 1Q18 as it marked the completion of one of the largest secondary transactions in the region thus far, Global Logistic Properties (GLP) for US$12b, along with the sale of Equis Energy for US$5b. Dry powder committed to Asia-Pacific continued its upward run, reaching a record level of US$313b by the end of 1Q18.

PE and venture capital (VC) investment value in 1Q18 increased manifold, with 19 deals being completed, valued at US$21.9b in comparison to 26 deals worth far lower at US$687m in 1Q17. Exit value too went up substantially from US$295m in 1Q17 to US$17.7b in 1Q18, mainly because the two largest buyouts completed in 1Q18 were secondary transactions. 

Private equity (PE) deal value skyrocketed in 1Q18 as it marked the completion of one of the largest secondary transactions in the region thus far, Global Logistic Properties (GLP) for US$12b, along with the sale of Equis Energy for US$5b. Dry powder committed to Asia-Pacific continued its upward run, reaching a record level of US$313b by the end of 1Q18.

PE and venture capital (VC) investment value in 1Q18 increased manifold, with 19 deals being completed, valued at US$21.9b in comparison to 26 deals worth far lower at US$687m in 1Q17. Exit value too went up substantially from US$295m in 1Q17 to US$17.7b in 1Q18, mainly because the two largest buyouts completed in 1Q18 were secondary transactions. 

The largest deal completed in 1Q18 was the secondary buyout of GLP by Hopu Investment Management, Nesta Investment Holdings, Hillhouse Capital Group, China Vanke Company, and Bank of China Group Investment along with the senior management executives of the firm at a staggering US$12b, which will go down as one of the major PE buyout deals completed in Asia to date. GLP is a global provider of logistics solution and is§focused on creating a logistics ecosystem that utilizes the latest technology, data and service offerings to drive value for customers. We expect to see a continued trend of future deals above US$1b driven by factors such as record levels of dry powder, a growing trend of co-investing and an increasingly active group of large direct investors