Florida SBA commits $300m to Levine Leichtman, Providence

The board, which manages the state’s $113bn pension, also is considering investments in Oaktree and Bayview.

The Florida State Board of Administration has authorised $300 million in private equity investments to Levine Leichtman and Providence Equity Partners, and is considering several more commitments.

Florida SBA, which manages the state’s approximately $113 billion pension, committed $100 million to Levine Leichtman IV, a $1 billion mezzanine fund.

SBA also approved a $200 million commitment to Providence Equity Partners’ second debt fund, which is targeting $1 billion. Providence closed its first debt fund, Providence TMT Special Situations Fund II, in 2008 with $1.14 billion in commitments.

Florida SBA also is exploring commitments in Oaktree Capital Management’s eight distressed debt fund, which is targeting between $4 billion and $6 billion, and Bayview Opportunity Master Fund, which is targeting $2 billion for investments in residential real estate debt.

Florida was a major private equity investor in 2009, committing more than $1 billion to firms like Lexington Capital, GI Partners, FS Equity Capital Partners, Hellman & Friedman, Gores Capital Partners, KPS Capital Partners and TA Associates.

SBA's goal for private equity spending in fiscal 2010 is $1.5 billion to $2 billion. The pension's fiscal year runs from 1 July to 30 June.