Firms & Funds

New Mexico mulls $100 mln commitment to Hellman & Friedman IX

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New Mexico State Investment Council, private equity, pension fund
Sandia Mountains in New Mexico. ivanastar/E+/Getty Images
  • Assets under management: $22.4 bln
  • Target allocation to PE/VC: 12 pct
  • Actual allocation to PE/VC: 10.76 pct
  • PE/VC strategy: Since 2011, PE portfolio has targeted larger fund commitments of $75 mln-$100 mln
  • Key advisers/consultants: Pavilion Alternatives Group
  • Whom to contact for a meeting: Charles Wollmann (charles.wollmann@state.nm.us)
  • Why this is important: Hellman & Friedman’s latest fund is attracting LP interest

New Mexico State Investment Council is mulling a $100 million commitment to Hellman & Friedman’s ninth fund, its latest investment-committee agenda shows.

The target for Hellman’s ninth fund has not been disclosed, but the pool is likely targeting $15 billion to $16 billion, Buyouts reported.

The firm’s previous fund closed at $10.9 billion in 2014, Minnesota State Board of Investment documents showed.

Hellman’s ninth fund has received re-ups from institutions, including $200 million from Minnesota and $100 million from Pennsylvania State Employees’ Retirement System.

New Mexico SIC manages almost $22.4 billion in assets, comprising the $17.4 billion land grant and $5 billion severance tax permanent funds.

Total private equity commitments were $2.5 billion across the two funds, a 10.76 percent allocation in the total portfolio as of June 30, 2018, according to documents.

New Mexico aimed to commit $550 million to $650 million spread over six to eight fund commitments for 2018.

Earlier in the year, it made a $60 million commitment to Bridgepoint Europe’s sixth fund, which closed at 5.5 billion euros ($6.24 billion) in December 2017.

New Mexico SIC’s PE portfolio returned 13.26 percent over one year, 9.96 percent over five years and 7.65 percent over 10 years as of June 30, 2018.

Action Item: Read more on New Mexico SIC here https://bit.ly/2Pc7bnG