Massachusetts Pension Reserves Investment Management Board announced commitments of $1.1 billion to five alternatives funds Thursday.
Michael McGirr, director of private equity with the $91.9 billion Boston-based state pension fund, said MassPRIM will commit up to $300 million to Hellman & Friedman Capital Partners XI, a $23 billion fund targeting large buyouts in North America and Western Europe with a focus on the technology, financial services, business and information services, health care as well as the consumer services and retail sectors.
MassPRIM will also commit up to $285 million to GTCR Fund XIV, a $9.25 billion buyout fund focused on middle-market companies in the U.S. technology, media and telecommunications, financial services and technology, health care and growth business services sectors.
The state fund's board also approved commitments to two funds managed by TA Associates. MassPRIM will commit up to $335 million to the $15 billion TA XV, targeting middle-market growth companies located in North America, Europe and Asia with a focus on the technology, health care, financial services, consumer and business services sectors, and up to $35 million to the $1.5 billion TA Select Opportunities Fund III — a best ideas fund.
Mr. McGirr called those commitments "high conviction" investments with firms whose funds MassPRIM has invested in over the past two or three decades.
Finally, the board voted to commit up to $150 million to Pharmakon Advisors' $1.5 billion BioPharma Credit Investments V, extending senior secured loans to life sciences companies, under PRIM's other credit opportunities portfolio.
Meanwhile, MassPRIM's board Thursday voted to lift the ceiling for PRIM's private equity allocations to 19% from 18%.
The boost — to a target range of 13% to 19% from a previous range of 12% to 18% — was offset by a 1-percentage-point drop in the pension fund's global equities target range to between 32% and 42% from between 33% and 43%.
At the same meeting, the PRIM board approved the hiring of Meketa Investment Group as the pension fund's public markets consultant, replacing Callan.
The fund's agenda materials said Meketa was one of seven applicants evaluated by PRIM's team; the others were Callan, Aon Investments USA, NEPC, RVK, Verus Advisory and Wilshire Advisors.
A Callan spokeswoman couldn't immediately be reached for comment.
