Investors must be on the lookout for more uncertainties in the Southeast Asian private equity market, despite a significant rebound in 2024, according to Bain & Company.
Deal value in the region increased 60% year-on-year in 2024, in line with most of the Asian Pacific markets, led by Singapore and Indonesia, with large investments in digital infrastructure assets helping support growth.
In Bain's Southeast Asia Private Equity report, it was found that while deal value rose, deal count declined slightly, reflecting continued friction in deal markets in the region.
The study reveals that investors in Southeast Asia are concerned about exit difficulties, fundraising challenges, and quality deal flow amid recently announced tariffs that are adding another layer of complexity to dealmaking in Southeast Asia.
In terms of sectors, Bain says the digital infrastructure space came about as the top-performing segment, while financial services, especially FinTech, also captured increased investor attention, growing faster in Southeast Asia than across broader Asia-Pacific.
