UPDATE 2-Affinity plans 4th Asia fund, eyes new markets -sources

lunes 8 de febrero de 2010 08:12 CET

* Target size bigger than 3rd, $2.8 bln fund - sources

* Eyes Southeast Asia, resource-rich Indonesia - sources

* Cool on China where deal valuation remains high - sources (Adds details about existing fund, competitors)

By George Chen, Asia Private Equity Correspondent

HONG KONG, Feb 8 (Reuters) - Affinity Equity Partners, an Asia-focused private equity firm founded by former top UBS UBSN.VX bankers, plans to raise a new multi-billion-dollar buyout fund to tap more deals in the fast-growing region, sources said.

The firm, founded in 2002 by K.Y. Tang, former chairman of UBS Capital, Asia Pacific, aimed to exceed the size of its most recent fund -- Affinity Asia Pacific Fund III LP at $2.8 billion -- for the new fund, the sources told Reuters on Monday.

Major institutional investors, also known as limited partners (LPs), in Affinity had been briefed on the plans, although formal fundraising roadshows would start in the second half, said the sources, who are from the private equity industry and are familiar with the plan.

Affinity's LPs include many U.S. and European pension funds, including California Public Employees' Retirement System, also known as CalPERS, the biggest U.S. pension fund.

The sources declined to be identified as the fundraising plan is private and confidential. Affinity was not immediately available for comment.   Continuación...