Tennessee Consolidated Retirement System, Nashville, will commit $25 million to the TrueBridge/TCRS-BVP VIII Special Purpose venture capital fund managed by TrueBridge Capital Partners, according to Lamar Villere, director of private equity for the $32.1 billion system.
The special purpose fund will invest entirely in Bessemer Venture Partners VIII Institutional, a $1.6 billion venture capital fund that had invested money exclusively from the trust of steel magnate Henry Phipps, but recently began accepting capital from outside clients.
“They said, ‘we’d love to have you, but we want you to come through an existing investor,’” Mr. Villere said, which is why the retirement system has to invest through the special purpose fund.
Bessemer Venture Partners announced last week that the BVP VIII fund — which actively invests in North America, India, Israel, Europe and Latin America — will invest about a quarter of the new fund in the Indian market.
Consultant Cambridge Associates assisted.
Mr. Villere noted that the system has a target allocation of 3% to private equity and an actual allocation of 0.2% to the asset class.