Mapletree Investments has secured over $500m (€432m) in equity commitments for the first close of its Emerging Asia logistics development strategy, which aims to reach a total portfolio value of $2.1bn when fully deployed.
The Mapletree Emerging Growth Asia Logistics Private Trust’s (MEGA) fundraising includes $250m in capital commitments, alongside more than $250m raised through a joint venture and direct co-investments into selected development projects in Malaysia.
MEGA targets logistics development opportunities across Malaysia, Vietnam and India.
Mapletree said MEGA, which is backed by sovereign wealth funds, a pension fund and a national investment company, is targeting an additional $200m in capital commitments for a second close by early next year.
The fund launches with a seeded portfolio of seven assets across Malaysia, Vietnam and India, and expects to generate an internal rate of return in excess of the mid-teens.
Mapletree will retain a minimum 20% stake in MEGA.
Hiew Yoon Khong, group CEO, Mapletree, said: “We are encouraged by the strong support received from established institutional investors across our Emerging Asia logistics development strategy. MEGA’s successful first close marks an important milestone and the commitments received reflect confidence in Mapletree’s ability to deliver development value across market cycles.
“Our integrated real estate capabilities have allowed us to pursue an accelerated development strategy which differentiates Mapletree from pure capital management players.”
Ng Kiat, CEO, Mapletree Asia Pacific of logistics development, said: “MEGA provides investors with access to logistics development opportunities in select high-growth markets across Emerging Asia.
“The fund’s successful first close reflects investors’ confidence in Mapletree’s global logistics platform, supported by our position as a market leader in Malaysia and Vietnam, experienced local teams and integrated real estate capabilities.”
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