Hillhouse Investment Management, the private equity firm best known for betting on China’s up-and-coming startups, has tapped potential investors in the Middle East to raise up to $8 billion for two new funds, according to a Bloomberg report on Tuesday (April 22).
The firm is also said to have pledged to put a total of $1-2 billion into the vehicles and targets a first close in October, according to Bloomberg’s sources.
The fundraising plan is not new, as it has been underway for more than a year. In February last year, MergerMarket reported that Hillhouse was in the market to raise $7-8 billion for new funds.
The latest report said the investment manager is looking to raise $7 billion for an Asia-focused buyout fund and an additional $1 billion to $1.5 billion for a growth strategy.
The news comes less than a month after Hillhouse announced the opening of a new office at Abu Dhabi’s international financial centre to expand its operations in the Gulf region, despite the outbreak of war in Iran.
With over 450 professionals across more than 18 countries, Hillhouse has already built a presence in the UAE through multiple investments.
It has invested in corporate services groups Virtuzone and Clara via its business services platform Ascentium, as well as Hartland International School and North London Collegiate School in the education real estate space via its real assets investment arm Rava Partners.
The new fund signals Hillhouse’s continued shift towards global buyout opportunities, leveraging its Asian heritage while diversifying geographically.
Founded in 2005, Hillhouse is an alternative investment firm headquartered in Singapore with a staff of over 500 globally in over 18 countries, according to its website.
Besides Singapore, it also has offices in New York, London, and Hong Kong, among others.
The firm’s portfolio in Southeast Asia includes Singapore-based semiconductor startup Silicon Box; super app Grab; B2B marketplace Udaan; and voice AI startup WIZ.AI.
Its prominent portfolio companies include Airbnb, Uber, Traveloka, Didi, JD.com, Tencent, Meituan, NIO, Beijing-based global biotechnology firm Beigene, Chinese women’s shoe retailer Belle International, among others.
Hillhouse’s fundraising activity comes as investor appetite for Southeast Asia-focused PE funds has notably waned in the second half of 2025. According to DealStreetAsia’s report, only three SE Asia-focused private equity funds reached a final close in 2025
Early this week, private equity giant EQT announced the final close of its latest Asia-focused private equity fund, BPEA Private Equity Fund IX, at $15.6 billion, marking the largest vehicle dedicated to the region to date.
