North Carolina Treasurer Janet Cowell announced Wednesday the launch of a second innovation fund that will invest in North Carolina-centered companies.
Like its predecessor fund, the $250 million innovation fund will be sponsored by the $88.8 billion North Carolina Retirement Systems, Raleigh, of which Ms. Cowell is the sole trustee.
Roughly two-thirds, or $167 million, of the total commitment will be for co-investments in “diverse industries including growth sectors in North Carolina,” while the remaining one-third will have a “multistage focus: venture, growth, buyout and mezzanine,” a news release said.
About $232 million was previously slated for the first innovation fund, of which $185 million was committed to eight private equity managers and 12 companies through co-investments. The first North Carolina Innovation Fund, which is managed by Grosvenor Capital Management and launched in 2010, has achieved a “20% internal rate of return with three successful exits to date and multiple valuation increases since investment,” according to the news release.
Whether Grosvenor will manage the second fund or whether a new fund manager will be sought could not be learned by press time.
A spokesman for Ms. Cowell could not be reached for additional information.