Temasek, the sovereign wealth fund of Singapore with S$389 billion ($290 billion) in assets under management, announced Friday the formation of a wholly owned private credit platform.
The platform will “enhance [Temasek’s] ability to scale its credit and hybrid solutions portfolio and capture global private credit opportunities,” according to a statement from the fund.
The new platform will be led by Nicolas Debetencourt and its initial portfolio will be about S$10 billion in direct investments and credit funds, Temasek announced. Based in New York, Debetencourt has been the head of Temasek’s already existing credit and hybrid solutions team since it was established in 2016. The platform will consist of 15 professionals based in London, New York, and Singapore.
The sovereign fund also manages credit assets through subsidiaries of its S$83 billion asset management business Sevioria Capital, such has alternative investment firm SeaTown Holdings Inc. The firm primarily makes private equity and private credit investment in Asia-Pacific.
Temasek held 52% of its portfolio in unlisted assets and funds, as of March 31, according to the fund’s most recent annual report. Approximately 20% of the funds S$202 billion unlisted portfolio is allocated to private equity and private credit funds, and another 12% to assets managed by Sevioria Capital’s five subsidiary firms.
Among Sevioria’s subsidiaries is India-based and Asia-Pacific-focused venture debt provider InnoVen Capital, with $1.5 billion in AUM.
Institutional investors and banks are plowing into the fast-growing private credit asset class. BlackRock, in its announcement this week to acquire credit manager HPS Investment Partners, said the firm expects the private credit market to grow to $4.5 trillion in 2030.
Temasek has reported 6% and 7% annual net return to shareholders for the past 10 and 20 years, respectively.
Related Stories:
BlackRock, Temasek JV Fund Surpasses Target With $1.4 Billion Close
BlackRock More Than Doubles Private Credit Business With HPS Investment Partners Acquisition
Ares Closes Largest Private Credit Fund
Tags: Credit, Nicolas Debetencourt, Private Credit, Singapore, Temasek