SSG Capital Management has officially held a final close on its fifth flagship fund, SSG Capital Partners V, on $2.7 billion, a spokesperson for the firm confirmed to Private Debt Investor. It is understood that the capital has been allocated to the main fund and a sidecar vehicle.

This is a record fundraise for the firm. Its predecessor fund, SSG Capital Partners IV, held a final close on $1.7 billion across its main vehicle and sidecar in 2017.

As PDI reported in January, the special situations and distressed debt investment specialist garnered $150 million from Virginia Retirement System for SSG Capital Partners V on 14 December 2018. Pennsylvania Public School Employees’ Retirement System also disclosed a $150 million commitment in the main fund and another $150 million in the sidecar on 5 July.

Fund V was seeking to raise $1.5 billion in capital commitments to continue its predecessor’s strategy of investing in special situations and distressed investments in the Asia-Pacific region, the disclosure from PSERS shows. Fund V held an initial close on $610 million in January.

The estimated composition of Fund V’s portfolio is up to 60 percent in distressed assets and up to 40 percent in special situations. The main investment strategy of the fund series is to acquire distressed single-name credit assets from financial institutions across Asia-Pacific, with a focus on China, India and South-East Asian countries, including Indonesia and Thailand.

Mercury Capital Advisors acted as placement agent to SSG Capital Partners V.

Edwin Wong, SSG Capital Management’s managing partner and chief investment officer, told PDI in October that the firm’s secured lending strategy has a sector-agnostic approach. He said the main lending opportunity he had seen in China this year had come from the property sector: “The real estate sector is the active space that we are deploying capital into.”

SSG Capital Management was established in 2009 by Edwin Wong, Shyam Maheshwari and Andreas Vourloumis to continue the strategy they developed at Lehman Brothers Asia Special Situations Group, in special situations and credit investments in the Asia-Pacific region.

The firm operates across nine offices in Hong Kong, Singapore, Shanghai, Bangkok, Jakarta, Mauritius, and affiliate offices in Mumbai, New Delhi and Sydney.