The Carlyle Group and AlpInvest Partners have been selected by the Indiana Public Retirement System (INPRS) to manage an existing $155 million fund, Indiana Investment Fund I, a 2006-vintage vehicle that was previously managed by Credit Suisse.
“We are pleased to deepen our relationship with INPRS by managing this legacy portfolio. Our mandate is to invest wisely and create value for Indiana’s public pensioners and we are grateful for this opportunity,” said David Rubenstein, Co-CEO of The Carlyle Group.
Indiana Investment Fund I is invested in a portfolio of Indiana-based fund-of-funds and co-investments. $85 million is deployed in five private equity funds and $70 million is in ten direct deals and co-investments. This program was created to invest in local fund managers with headquarters in Indiana, and local private businesses that were located in, had significant operations in, or were willing to relocate to the state.
In December 2012, INPRS selected Carlyle and AlpInvest to deploy and manage a new $150 million investment fund, Indiana Investment Fund II, which makes Indiana-based direct investments, co-investments and fund commitments. Carlyle and AlpInvest now manage $305 million for INPRS’ Indiana Programs. Carlyle and AlpInvest have established a joint office in Indianapolis from which these investment mandates are managed by a dedicated team of two investment professionals.
“We believe that consolidating our Indiana-focused funds with one manager will best serve the interests of our members and better enable us to achieve the return expectations we have established. First and foremost, these Indiana-focused investments must support the needs of INPRS’ members. Additionally, they may bolster the economic environment in which Indiana employers and Hoosier taxpayers work and live. We’re confident we can achieve our primary goal while also helping to support excellent investment opportunities in Indiana,” said Steve Russo, Executive Director, Indiana Public Retirement System.
“This mandate is important to us and we will work to maximize the fund’s value. It has only been a few months but we are already pleased with the opportunities we are seeing for investing the fresh capital in the Indiana Investment Fund II that was awarded to Carlyle and AlpInvest in December,” said Volkert Doeksen, Chairman and Managing Partner of AlpInvest.
AlpInvest Partners is one of the largest private equity investors in the world, with approximately $48 billion of assets under management as of March 31, 2013. AlpInvest’s activities cover a range of private equity investing, including primary fund commitments, secondary purchases and co-Investments. The firm’s investments span the spectrum of private equity: buyouts, venture capital, growth capital, mezzanine, and distressed. AlpInvest manages programs for a number of institutional investors globally. The firm is based in Amsterdam with additional offices in New York, Hong Kong, and London (www.alpinvest.com).
The Carlyle Group (NASDAQ: CG) is a global alternative asset manager with $176 billion of assets under management across 114 funds and 76 fund of funds vehicles as of March 31, 2013. The firm invests in buyouts, growth capital, real estate and leveraged finance in Africa, Asia, Australia, Europe, North America and South America focusing on aerospace & defense, automotive & transportation, consumer & retail, energy & power, financial services, healthcare, industrial, infrastructure, technology & business services and telecommunications & media. The Carlyle Group employs 1,400 people in 34 offices across six continents and is based in Washington, DC (www.carlyle.com).
With approximately $27 billion in assets under management as of December 31, 2012, the Indiana Public Retirement System is among the largest 100 pension funds in the United States. The fund serves the needs of approximately 447,000 members and retirees representing more than 1,400 employers including public universities, school corporations, municipalities and state agencies. The Indiana Public Retirement System is based in Indianapolis (www.in.gov/inprs/).
© 2013 PEPD • Private Equity’s Leading News Magazine • 6-14-13