UMich Endowment Invests in PE, VC, Credit

The University of Michigan Endowment, which oversees $18 billion in assets, made multiple investments across private equity, venture capital and credit in recent months.

The endowment approved approximately $551 million in September, and another $275 million in commitments were made in previous months across the fund’s absolute return and alternative asset portfolios.

Approved investments included: Five Point-sponsored investments ($150 million); Merit Hill-sponsored investment ($75 million) and Star Asia-sponsored investment ($46 million).

Other notable investment commitments approved included Aurelia Foundry I ($10 million); Black Operator Fund I and Black Ops Ventures ($20 million); and Millstreet Capital Management ($180 million).

Absolute return portfolio commitments included investments with Champlain Capital and O’Brien Staley Partners.

San Francisco-based Champlain received a $50 million investment in its SBIC fund strategy that purchases lower middle-market US companies by buying their entire capital structures.

O’Brien Staley Partners in Minneapolis is focused on credit and received a $75 million commitment. The firm buys commercial and industrial loans at a discount to both par and intrinsic values.

Within the alternative asset portfolio two allocations were made over the summer.

Plural, a seed and early-stage venture capital firm focused on European startups, received a $50 million commitment. Rubicon Founders saw a $50 million investment for its healthcare-focused private equity strategy.