Fresno Adds $140M to Private Credit, PE Strategies
The Fresno County Employees’ Retirement Association (FCERA), which manages $7 billion in assets, added five new funds to its private credit and private equity programs in December totaling $140 million, as outlined in recently released meeting minutes.
A $105 million allocation was made to private credit managers. The Arbour Lane Credit Opportunity Fund IV received a $30 million mandate. This latest fund from Arbour Lane, which is targeting $2 billion, has also been selected by the Texas County & District Retirement System for a $175 million mandate.
Arbour Lane plans to maintain the focus of its Credit Opportunity Fund IV series on overlooked mid-cap distressed bank debt in secondary markets. The fund’s strategy emphasizes investing in senior secured debt and first-lien securities, particularly in out-of-favor sectors.
Ardian received a $40 million allocation to its Ardian VI Levered fund. This European direct lending fund focuses on providing non-bank financing solutions to European mid-cap companies.
The third private credit commitment was made to 400 Capital Distressed Debt & Special Situations, which received a $35 million allocation. 400 Capital’s investment process is driven by a combination of fundamental and quantitative strategies, designed to perform across the entire credit cycle. This process includes active sector rotation and the use of long/short investment themes.
In the second half of December, two smaller private equity investments were completed, including a $15 million commitment to Stone Point Capital’s Trident X. This buyout fund focuses on the global financial services industry and has garnered significant support from prominent institutional investors. Recently, it also received commitments from the Virginia Retirement System, MassPRIM, and the Washington State Investment Board.
Thomas H. Lee Partners received a $20 million allocation to its THL Equity Fund X. This fund is focused on middle-market buyout opportunities with an emphasis on sectors such as financial technology, healthcare, technology, and business services. THL Equity Fund X is targeting a final close at $6.25 billion. In addition to the recent commitment, the fund has also attracted investments from major institutional investors, including the Boston Retirement System and the Minnesota State Board of Investment.