SG's January Capital closes $130m fund for APAC tech loans

January Capital has closed its growth credit fund at over US$130 million, targeting sponsor-backed tech companies in Asia Pacific.

The Singapore-based firm attracted commitments from institutional investors, including Japan’s SBI Holdings, GMO Payment Gateway, Orient Growth Ventures, and Australian Philanthropic Services Foundation.

The fund offers senior secured loans of US$10 million to US$20 million to growth-stage tech firms, providing a less-dilutive financing option that is less common in the region.

Growth credit accounts for less than 2% of available funding for tech-enabled companies in Asia Pacific, compared to about 20% in the US, according to January Capital estimates.

Since its initial close in December 2024, the fund has provided credit to five companies and signed term sheets for five more deals expected to close in Q1 2026.

January Capital focuses on tech investments across Asia Pacific.

🔗 Source: January Capital

🧠 Food for thought

Implications, context, and why it matters.

APAC’s thin growth credit uptake stems from structural gaps

January Capital pitches growth credit as “less dilutive”. It omits interest rates and warrant coverage (equity sweeteners attached to loans). It also leaves out covenants and collateral needs. These terms decide if it beats equity dilution or other lenders 1.
APAC sits below 2 percent while the US is near 20 percent 1. The gap stems from thin lender coverage, weak legal enforceability, and poor data transparency 1.
US private credit leaned on payment in kind (PIK) features and higher leverage in 2021 to 2022 vintages. Shadow default rates reached 6 percent by August 2025, up from 2 percent in 2021. That hints the “non dilutive” pitch hides rising credit strain as maturities bunch in 2025 to 2027 2 3.

Third-party platforms can map APAC’s scattered growth credit market

Penetration below 2 percent leaves room for a lender directory and matching service in APAC 1. It would list active venture debt (loans to VC backed startups) and growth credit funds with typical loan sizes, target sectors, plus geographies.
Global private credit dry powder tops $400 billion, and excess demand has led to underpricing risk 2. Corporate finance advisors can offer valuation and covenant benchmarks so financial sponsors such as private equity firms compare growth credit terms with equity rounds.
AI related capital expenditure could reach about $700 billion in 2026 and top $1.4 trillion a year by 2030 4 3. Data center project finance looks attractive as growth credit funds back the tech firms scaling those facilities.