Granite Asia Targets Middle-Market Debt as Regional Demand Climbs

The firm’s strategy centers on mid-sized companies that often bypass traditional bank loans or equity financing to avoid ownership dilution. According to Eng, these businesses are at a critical inflection point where they require capital to scale rapidly without sacrificing control. Since the fund's 2025 launch, Granite Asia has closed eight transactions and realized two exits, delivering returns described as being in the teens.

While the Asia-Pacific private credit market remains small by global standards, it is forecast to expand from $59 billion in 2024 to $92 billion by 2027. Granite Asia is currently focusing on deployment rather than further fundraising, targeting thematic opportunities in digitalization, technology enablement, and supply chain reconfiguration. Eng noted that because the regional market lacks the saturation found in the U.S. and Europe, managers can carve out distinct niches aligned with their specific expertise.