Nearly 50 private equity firms are seeking to raise up to $27bn (€21.3bn) between them to invest in Asia, according to industry estimates.

The largest is a $3bn (€2.4bn) fund by Avenue Capital Group, a US-based firm. Avenue Special Situations Fund IV will target distressed companies. The firm held an initial close at $1.5bn earlier in the year and it is understood it will achieve a $3bn target. Data provider Private Equity Intelligence says 28 Asian buyout funds are being raised, seeking $12bn in commitments. But a fundraising source said there were 46 Asia-focused funds worth more than $27bn at the fundraising stage, including 30 from firms that have not previously invested in the area. Debutants include heavyweights such as Kohlberg Kravis Roberts, which is raising a $2bn fund. The Carlyle Group closed fundraising for its latest Asia ex-Japan fund in July at $1.8bn. Local firm MBK Partners, run by Carlyle's former chairman in the region, Michael Kim, raised $1.56bn in its debut Asia ex-Japan fund. MBK is trying to buy Taiwan's cable company, China Network Systems, for $1.4bn while global and regional funds are targeting Australia with a consortium of buyout firms offering to buy Coles Myer for $12.7bn. Goldman Sachs made its largest single investment in a company when it bought a 5.75% stake in Industrial & Commercial Bank of China for $2.6bn in May. Goldman may see its investment almost double in value when ICBC undertakes the world's biggest flotation this month, according to analysts. Firms with Asia-focused funds are increasing the size of their latest offerings. Australia's Ironbridge Capital, whose previous offering raised A$450m (€264.8m), is targeting A$800m this time. The interest comes despite fears of political meddling. Dallas-based private equity firm Lone Star's planned sale of Korea Exchange Bank hit the rocks after a probe by state prosecutors who alleged it understated the bank's financial strength when acquiring it in 2003.