New Mexico SIC Taps Private Markets with $830M in Commitments
The New Mexico State Investment Council has allocated $830 million to private equity, real assets, and credit strategies.
The $4.3 billion private equity program recorded $530 million in commitments. Frazier Healthcare Growth Buyout Fund XI received a $150 million commitment as well as another $150 million to be side-by-side invested in co-investment commitments. The investment is SIC’s first with Frazier Healthcare Partners.
The Veritas Capital Fund IX received a $100 million allocation as well as a $100 million side-by-side co-investment pledge. The latest offering from Veritas Capital Fund Management expands on the buyout firm’s emphasis on investing in businesses that offer government and commercial customers globally vital products, software, and services—mostly technology or technology-enabled solutions.
Outlander 3 Magellan, a generalist pre-seed fund run by New York-based Outlander VC, received a $30 million commitment and intends to identify and fund early-stage businesses (pre-seed and seed rounds).
Trustees also agreed to restructure its current investment to America’s Frontier Fund into the firm’s Roadrunner Fund I and Frontier Fund I Alpha. In 2022, New Mexico SIC trustees approved a $100 million investment in America’s Frontier Fund’s maiden vehicle, which targeted on fostering frontier technologies, including those created in New Mexico’s research labs.
Hull Street Energy Partners III received a $150 million commitment for what is characterized as a comprehensive, data-driven, value-oriented approach to investing in mid-market North American power projects. Hull Street Energy focuses on investments in North American operating power renewable development opportunities, and energy services.
The $5.5 billion real asset portfolio consists of several sub-strategies, such as MLP, energy, timber, infrastructure, and agriculture. The portfolio has expanded quickly; in the first quarter of 2024, assets increased by $150 million.
A $150 million ticket was approved by trustees for Pemberton Asset Management’s most recent offering, concentrated on European private credit. The primary focus of Pemberton’s Strategic Credit Fund strategy will be senior and subordinated loans to Western European mid-market firms that are performing well. However, the fund will also have the flexibility to make equity and junior capital investments across the capital structure.