EQT is targeting around USD 2bn for its second Asia mid-market buyout fund, which will launch next month, according to sources familiar with situation.

The fund, BPEA Mid‑Market Opportunities Fund II, is currently in the document preparation phase, but EQT has already begun marketing it to existing LPs, the sources added.

The fund was registered in Luxembourg in February this year, according to filings with the Luxembourg Business Registers (LBR).

The impending launch comes on the heels of EQT closing its latest flagship Asia buyout fund on USD 15.6bn, up from USD 11.2bn in the prior vintage. It is the largest pool of capital ever raised for an Asia private equity mandate.

EQT closed its debut Asia mid-market fund on USD 1.6bn in May 2024, significantly exceeding the target of USD 750m. It backs mid-size companies in India, Southeast Asia, Japan and Australia, emphasizing thematic control investments to unlock transformative growth.

While Fund I was known as BPEA EQT Mid-Market Growth, the strategy has been rebranded as Mid-Market Opportunities to clearly reflect the focus on buyouts, one of the sources said. Target sectors are the same as the large-cap strategy: technology, services, healthcare, and technology services.

Fund I has made six investments, according to EQT’s website. They include Australia-headquartered school management systems developer Compass Education, Japan-based human resources software provider HR Brain, and Indian mortgage lender Niwas Housing Finance.

Three more companies are headquartered outside Asia but have significant presences in it. Quantios, a software platform for trust and corporate services providers, has a base in Malaysia, while digital engineering specialist Indium Software and security analytics player Securonix both have operations in India.

EQT declined to comment.