STRATEGY

A hybrid Private Equity & Real Estate investment firm, sponsoring direct investments into real estate corporates & platforms

WHY ASIA WORKS DIFFERENTLY

Asia is the fastest growing market in the world...

Asia has grown and will continue to grow more quickly than the West

As the most dynamic region globally today, Asia offers a wide range of investment opportunities, driven by growing urbanization & the rise of the middle class

In particular, the real estate industry in Asia has grown substantially and is one of the largest sectors for both domestic & foreign investment across the region

...but with high growth, comes high volatility

The rapid growth over the past 30 years has not been a straight line - Asian markets are unpredictable and shift much more rapidly than in the West

Unlike in the developed West, simply being a skilled investor does not determine success

In these volatile Asian markets, timing is everything

Even Hong Kong, one of Asia's most stable and mature markets, is significantly more volatile than the West

Traditional closed-end funds which arbitrarily end at the wrong time simply cannot survive in this environment

Closed-end funds have major disadvantages in rapidly moving markets

In our experience, we have seen that traditional funds suffer from three major drawbacks, particularly in Asia:

  • Closed end funds can usually only raise money in up markets

  • Huge incentives to invest money quickly, usually at the top

  • Funds are incentivized to sell their 'winners' early in order to help raise the next fund

Asia's most successful Real Estate investors are not Private Equity funds, but local corporates

Asian Real Estate corporates & platforms have local relationships, do not have arbitrary fund deadlines, and have long-term capital to take advantage of volatility

The most successful real estate players have realized value by listing their corporate platforms on the public markets, while maintaining a significant stake

Today, in every Asian market, real estate is one of the largest listed market segments 

EXS believes traditional Real Estate Private Equity is not well suited for these markets - a different, long-term approach is better suited for Asia

WHAT MAKES EXS UNIQUE

EXS focuses on Real Estate platforms rather than individual assets

Our strategy is to invest into the Real Estate companies or Management Teams, and grow the platform as a whole

We form partnerships with local Management Teams who have figured out how to succeed in these special markets
 

Rather than invest into individual assets on our own, we want to empower Management Teams to run the platform and do what they do best

Illustrative structure only

We look at traditional developers as well as sector specialists 

Traditional Real Estate Developers

  • Traditional developers of residential, commercial and/or hospitality real estate
     

  • Proven execution ability with good product design & quality as well as ability to originate
     

  • Strong local expertise, networks, and knowledge in a particular geography

Sector Specialists

  • Specialized management teams focused on thematic real estate sectors
     

  • Alternative asset classes within real estate such as data centers, logistics, healthcare, etc.
     

  • Regional or global focus across multiple jurisdictions

EXS sponsors multiple rounds of investments into each platform over time

Instead of closed-end funds, we use a platform-by-platform approach, with each project as its own platform with its own structure

 

This approach allows us to flexibly grow with management teams over the long-term, with no artificial fund deadlines

 

We sponsor and investment into each  platform over multiple rounds, from our own managed funds as well as from co-investors

 

As we grow the platform, we gradually increase the company/platform's valuation and lower its cost of capital over time

The ultimate goal is to realize value for all through IPO, REIT listing, or platform sale

We strongly believe that, for Asian real estate platforms, the whole is worth much more than the sum of its parts

We want to build billion dollar market leaders and preserve their value as a platform​, rather than dispose assets one-by-one

Through this longer-term, more aligned approach, EXS is expected to achieve greater returns and outperform traditional closed-end Private Equity

EXS

HONG KONG

22/F, The Lucky Building
39 Wellington Street
Central, Hong Kong
Phone: +852 3752 8888

SINGAPORE

15/F, 71 Robinson Road
Singapore 068895 
Phone: +65 6206 5800

CAYMAN ISLANDS

27 Hospital Road, George Town

Grand Cayman KY-9008

Cayman Islands 

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INFO / CAREERS

info@exs.com

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