CapitaLand Investment Limited (CLI) is expanding its presence in Australia with the recent acquisition of Wingate Group Holdings’ property and corporate credit investment management business for A$200 million ($173 million). This move will increase CLI’s total funds under management (FUM) in Australia to A$8.3 billion, representing a 30% increase from its current FUM in the country.
CLI has set a target of reaching $200 billion in FUM by 2028 and has committed A$1 billion to grow its FUM in Australia, a market that the company has recently refocused on after divesting its assets a decade ago in favor of faster-growing markets like China.
Wingate is known as one of the leading private credit investment managers in Australia, having completed over 350 transactions worth more than A$20 billion. CLI is already familiar with Wingate, having partnered with the company in September for the A$265 million Australia Credit Program (ACP).
This acquisition will enhance CLI’s access to institutional and private high-net-worth investors and expand its geographical presence in Australia. According to Paul Tham, CLI’s group CFO, other Asia Pacific markets such as South Korea, India, and Japan also offer potential for growth in private credit opportunities.
Australia is a key focus market for CLI, with significant potential for growth in the private capital market, which has grown by 33% in the past 18 months to reach A$139 billion in assets under management. With an estimated A$146 billion commercial mortgage funding gap by 2028, CLI sees potential for further diversification of its portfolio through this acquisition.
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CLI currently manages 34 logistics properties and business parks, four Grade A office buildings, and over 13,500 lodging units across more than 150 properties in Australia. This acquisition will further expand its portfolio and strengthen its position in the Australian market.