LP Scorecard: Top, Bottom MassPRIM Mid-Market Funds

GTCR Fund VII-A LP, a 2001-vintage fund, comes in at first place, posting a 82.69 percent IRR, followed by the 1993 vintage DLJ Merchant Banking Partners LP with a 77.13 percent IRR. The 1989-vintage Thomas H. Lee Equity Fund LP comes in third place with a 77.13 percent IRR.

MassPRIM has disclosed performance IRRs for some 239 private equity funds within its portfolio ranging from 1986 to 2007 vintage. The state pension fund’s private equity assets had a value of $5.9 billion as of July 31, 2012, and its private equity allocation stood at 12 percent, above its 10 percent target for the period.

From this disclosed performance data, there are some 100 mid-market funds the pension fund has backed ranging from vintage years 1987 to 2007. Among those funds are both U.S. and European mid-market players such as Boston Ventures, Genstar Capital Partners, Gores Capital Partners, Insight Venture Partners and Vestar Capital Partners on the U.S. side and Alchemy Investment Plan, Chequers Capital, Exponent Private Equity Partners and Montagu Private Equity from across the pond.

Top quartile IRR for the mid-market funds within MassPRIM’s portfolio reached 20.1 percent; median quartile reached 11.45 percent and bottom quartile reached 5.57 percent.

MassPRIM is invested in a wide range of international private equity strategies, including venture capital, mid-market, large buyout, energy-focused and funds of funds. Prominent names within the portfolio include Advent International, Apax Partners, The Blackstone Group, HarbourVest, Kohlberg Kravis Roberts & Co. and Permira Advisers Ltd on the buyout side and Austin Ventures, Battery Ventures, Insight Venture Partners and Menlo Ventures on the venture side. Top of the entire portfolio comes the 1997 vintage Menlo Ventures VII with a 136.03 percent IRR followed by GTCR Fund VII-A and in third place comes DLJ Merchant Banking Partners.

Angela Sormani is a special correspondent for Buyouts in London.

Top Five

5. Hellman & Friedman Capital Partners IV LP

Vintage: 2000

IRR: 34.94 percent

4. Onex Partners LP

Vintage: 2004

IRR: 39.24 percent

3. Thomas H. Lee Equity Fund LP

Vintage: 1989

IRR: 54.58 percent

2. DLJ Merchant Banking Partners LP

Vintage: 1993

IRR: 77.13 percent

1. GTCR Fund VII-A LP

Vintage: 2001

IRR: 82.69 percent

Bottom Five

5. Thomas H. Lee Equity Fund IV LP

Vintage: 1998

IRR: -2.58 percent

4. GTCR Fund VI LP

Vintage: 1998

IRR: -4.94 percent

3. Alchemy Investment Plan (Hawthorne II)

Vintage: 2005

IRR: -7.92 percent

2. Willis Stein & Partners II LP

Vintage: 1998

IRR: -9.41

1. Madison Group LP

Vintage: 1990

IRR: -17.94