Rhode Island commits $60 mln to Advent

  • AUM: $8.4 bln
  • PE allocation: 6.7 pct; PE target allocation: 11.25 pct
  • PE portfolio size: $1.5 bln
  • Whom to contact: Evan England (evan.england@treasury.ri.gov)
  • Why this is important: The system invested in two of Advent’s previous funds

Rhode Island State Investment Commission at its March meeting committed $60 million to Advent International’s ninth global private equity fund, pension documents showed.

Advent International focuses on healthcare; industrial; business and financial services; retail, consumer and leisure; and technology, media and telecommunications in North America and Europe. GPE IX is targeting $17.5 billion, according to Pitchbook.

Rhode Island is invested in Advent’s seventh and eight funds, according to a person with knowledge of the system. Fund VII closed on $10.8 billion in 2012, and Fund VIII on $13 billion in 2016, Buyouts previously reported.

The system’s PE allocation sits at 6.7 percent on a 11.25 percent target, which will remain until 2022, according to an asset class review document. Unfunded commitments make up between 5 percent to 7 percent of the fund.

Evan England, spokesman for Rhode Island Treasurer Seth Magaziner, told Buyouts that some vintage funds are expiring and the system must find funds to replace them. The system’s pacing plan outlines that it wants to maintain vintage year commitments averaging $270 million a year.

“We’re looking to make about 10 commitments a year for the next few years,” England said, adding that Rhode Island plans to invest $20 million to $60 million per fund.

The state has committed $1.5 billion to 78 private equity funds, including to Nautic Partners’ fifth, sixth, seventh, eighth and ninth funds; and two Level Equity funds.