Texas County & District Retirement System pledged up to $280 million in private equity commitments in October and November, according to its website.
The system committed $75 million to KPS Capital Partners’ fifth fund and $30 million to KPS Special Situations Mid-Cap Fund in October. The two funds target turnarounds, restructurings, bankruptcies and corporate carve-outs, with the mid-cap funds focusing on smaller companies in the low to middle market.
KPS Special Situations Fund V and the Mid-Cap Fund closed oversubscribed in October after four weeks of fundraising, according to Buyouts. KPS’s fifth flagship closed at $6.12 billion, while the mid-cap closed at more than $1 billion, surpassing its $750 million target.
Massachusetts Pension Reserves Investment Management Board and Pennsylvania State Employees’ Retirement System took a similar approach with its investments with KPS Capital, committing $115 million and $100 million, respectively, to both funds.
Texas C&D also committed $60 million to Cortec Group’s seventh fund, which had a final close in November with $2.1 billion, according to data from sister publication Private Equity International (PEI). Fund VII focuses on the healthcare sector in North America.
The system also committed $65 million to TA Associates’ Select Opportunities Fund, which takes minority stakes in businesses that TA Associates previously invested in and sold to third-party sponsors, according to Buyouts. The fund is targeting $1 billion.
Employees Retirement System of Texas also committed $20 million to TA Select Opportunities Fund in November.
Texas County also pledged $50 million to OpenView Venture Partners’ sixth fund, targeting $450 million, PEI data shows. OpenView VI is a venture capital fund but is listed under Texas County & District’s private equity asset class, its website shows.
The system has made more than $1.7 billion in private equity commitments this year, according to its website. Venture capital funds are under the system’s PE portfolio.
Texas C&D reached its 18 percent target allocation for private equity, its website show.
Action item: Check out Texas County & District Retirement System’s 2019 PE commitments here.