Morgan Stanley's latest Asia-focused private equity fund, Morgan Stanley Private Equity Asia IV, is closing with commitments of roughly $1.7 billion, said Chin Chou, the Hong Kong-based CEO of MSPE Asia, in a telephone interview.
As with Morgan Stanley's three earlier Asia-focused funds, the firm will invest between 80% and 85% of the new fund in Chinese and Korean companies, said Mr. Chou.
The Chinese market has been the target of roughly half of the $2.5 billion in investments MSPE made through its previous three Asia-focused funds.
Mr. Chou said the latest fund already has made two investments, with another five likely to be made soon. By Sept. 30, between 20% and 25% of the fund's capital could be drawn down, he said.
Investors in the fund include the $50.4 billion Pennsylvania Public School Employees' Retirement, Harrisburg, and the $9.4 billion Ann Arbor-based University of Michigan endowment.
