The vehicle is designed to invest between $30 million and $75 million in exchange for minority stakes. It originally was marketed with an $800 million target, while $1 billion represents its "hard cap." Forty percent of the commitments came from new investors to KKR.
KKR also can do larger, control deals in China via a $4 billion pan-Asia fund raised in 2007. That vehicle is approximately 60% committed, and already is paying carried interest (the firm says that "every investment in the Asian Fund is at or above cost as of year-end 2010").
The firm has 14 investment professionals focused on Greater China, plus three members of its Capstone group, which focuses on improving portfolio companies operations. Overall, it has 41 investment pros in Asia, and 11 Capstone pros.
In its documents, KKR said that it plans to raise other "region-specific businesses" in Asia and "raise larger successor funds." No additional information was disclosed. Also no mention of a new North American fund, which is in market with an expected target of between $9 billion and $10 billion.