Searches and Hires

New York State Teachers allocates up to $475 million to 4 private equity funds

The New York State Teachers Retirement System, Albany, has made four private equity commitments of up to $475 million. The commitments were announced Thursday at the quarterly meeting of the governing board of the $111.1 billion pension system.

The commitments are:

  • Up to $200 million to TSG 8, managed by TSG Consumer Partners. The fund invests in high-growth consumer companies, John Cardillo, a pension system spokesman, said in an email. The pension system has made five previous commitments to TSG funds.
  • Up to $100 million to ABRY Partners IX. The fund is a North American buyout fund concentrating on media, communications, information and business-services sectors, Mr. Cardillo said. The pension system has made 11 previous commitments to ABRY Partners funds.
  • Up to €88 million ($100 million) to Astorg VII, described by Mr. Cardillo as a middle-market buyout fund seeking investments in health-care, industrials and business-services companies in Western Europe. It is the pension systems's first commitment to Astorg Partners.
  • Up to $75 million to ChrysCapital VIII, a fund focused on "equity growth, expansion capital or buyout investments," Mr. Cardillo wrote. It, too, is a first-time commitment for the pension system.

Each commitment was approved by Thomas Lee, the pension system's executive director and chief investment officer, without a full board vote. The retirement system's rules allow the CIO to take action without a full board vote under certain circumstances.

The pension system also reported a return on investment, net of fees, of 3.3% for the three months ended Sept. 30, the first quarter of the current fiscal year.