Equis raises $1.7bn for Asia energy

Asian private equity firm Equis Funds Group has raised $1.7 billion from investors for three vehicles focused on renewable energy and infrastructure projects in the Asia Pacific region, according to a statement.

The firm raised $1 billion for Equis Asia Fund II, the successor vehicle to Equis’ debut offering in Asia, which closed on $650 million in December 2012. The firm expects to deploy the capital from Fund II over a three- to four-year period.

Separately, Equity has also completed a first close on $300 million for Equis Direct Investment Fund and an additional $400 million from existing partners for Japan Solar and Energon, two existing Equis platforms under Fund I.

Of the total capital raised, $990 million (58 percent) was invested by existing LPs from Fund I, including DEG, FMO, MassMutual and Partners Group. The balance was raised from new investors.

“The end of 2014 was particularly busy with the successful closing of capital commitments into and commencing construction of new solar generation projects in Japan and the Philippines, new wind generation projects in India and the Philippines, and a new bioenergy project in the Philippines. This momentum has continued into 2015 with the first three investments under Fund II,” David Russell, chief executive officer of Equis, commented.

Fund II is now 37 percent deployed through three investments, including a $100 million follow-on investment in Japan Solar, a $100 million investment in India infrastructure developer InfraEdge, and an initial $20 million of a $150 million commitment to expand Asia hydro generation business Hydreq further into Asia.

Equis now has $2.7 billion in assets under management and offices in Bangalore, Bangkok, Beijing, Jakarta, Manila, New Delhi and Tokyo, according to the firm.