KKR & Co. is seeking a $500 million loan to finance its acquisition of a majority stake in XCL Education Holdings Pte., a Southeast Asian school operator, according to sources familiar with the matter. The proposed five-year loan carries an interest margin of 300 basis points over the Secured Overnight Financing Rate.

BNP Paribas SA, DBS Bank Holdings Ltd., HSBC Holdings Plc, ING Bank, and Standard Chartered Plc are leading the financing, though discussions remain ongoing and terms could change. KKR outbid competitors including Warburg Pincus, Blackstone Inc., and EQT AB for the stake held by TPG Inc., valuing XCL at approximately $1.3 billion.

XCL operates K-12 campuses across Southeast Asia, including XCL World Academy in Singapore and the American School of Bangkok. The deal reflects growing private investment in Asian education, as investors bet on rising demand from upwardly mobile families. KKR's education portfolio already includes Lighthouse Learning in India and Taylor's Education Group in Southeast Asia, demonstrating the firm's expanding presence in the sector.