Accel-KKR is poised to close on its fourth fund targeting $700 million, according to documents from the Nebraska Investment Council.
The fund is expected to close before the NIC’s next meeting, which is scheduled for May 24, according to Nebraska documents. Accel-KKR Capital Partners IV has already held two closes and had raised at least $600 million as of press time, a market source told Private Equity International.
The NIC will re-up $20 million to the fund, pending the completion of a due diligence by staff. Nebraska’s decision to invest in the fund was driven, at least in part, by concerns that the timing of the closing would limit the investment council’s ability to participate in the fund, according to documents.
Last month, the Texas County and District Retirement System invested $70 million in the fund. The firm’s previous fund raised $600 million in 2008. Performance data was unavailable at press time.
The firm did not respond to requests for comment.
Accel-KKR targets investments in growing technology companies, typically with a focus on recapitalisations, divisional buyouts, going-privates and minority investments in the middle market. The firm was founded in 2000 as a joint venture between Kohlberg Kravis Roberts and venture capital firm Accel Partners. In 2002 its current management took control of the firm.
The Nebraska Investment Council manages investments for a variety of state endowments. The portfolio includes a 5 percent target allocation to private equity. The system has $15.8 billion in assets under management as of 31 December, according to its website.