The Dutch pension asset manager's Asia Pacific head of real estate says his team has just had one of its busiest years ever and that 2021 is looking similarly promising.
KKR has recently announced its intention to diversify its LBO business to public equities, infrastructure, real estate and mezzanine debt û all areas covered by Lehman Brothers Asset Management (LBAM) and US affiliate Neuberger Berman.
One of the key details in the discussion is how to treat approximately $400 million of funding obligations across LBAM portfolios to the parent, Lehman Brothers Holding Inc, which is its biggest single investor. It is not clear whether a buyer such as KKR would be willing to fund these, now that Lehman Brothers Holding has been declared bankrupt.
The issue is immediate as Lehman Brothers Holding faces capital calls to its creditors and counterparties.
A Lehman executive involved in discussions with potential acquirers would not confirm KKRÆs role, or that selling to a strategic investor is the sole opportunity. ôWe have a lot of options on the table,ö he says.
But he also says the capital issue will not be a barrier. ôIt wonÆt hold up a deal,ö he says.
Sources who have identified KKR as the main bidder say if the talks fail, the principals of the $35 billion LBAM, which focuses on private equity and real estate, are prepared to effect a management-led buyout. Given the urgent capital issues, a decision by KKR is imminent.
Together with Neuberger Berman, which has a big high-net-worth clientele in America, LehmanÆs asset management arms manage $273 billion.
Record low borrowing costs in Australia are feeding demand for the country's real estate, with domestic and global investors raising their allocations into the sector.
Experts have a diversified view on the appeal of private assets across the region, but one thing's for certain - inflows are rising, particularly into China and the US.
Malaysia's Armed Forces Fund hires new CEO; Canada's Omers appoints Asia capital markets managing director; HSBC Asset Management creates alternatives unit, appoints CIO as its head; Bank of Singapore names global wealth head; Aware Super hires IFA head; Hong Kong names acting head for MPFA; Schroders adding to Asia ESG headcount; and more.
Asian fixed income assets – including Hong Kong dollar (HKD) bonds – are luring growing numbers of global investors who are striving for reliable and consistent returns amid macro uncertainty compounded by rising inflation and rates, according to HSBC Asset Management.