The Teachers’ Retirement System of Louisiana has committed $75 million to Lindsay Goldberg Fund IV, according to documents from private equity manager Hamilton Lane.
Lindsay Goldberg Fund IV launched earlier this year and with a $4 billion target, the same size as Lindsay Goldberg’s prior fund. The Public Employee Retirement System of Idaho is also considering commitment to Fund IV, according to documents from the pension’s January board meeting. Fund IV is expected to hold a first close by mid-year, according to Private Equity International’s Research and Analytics division.
Lindsay Goldberg Fund III, a 2008 vintage, surpassed the $4 billion target, raising $4.68 billion in total. The fund was generating a net internal rate of return of 7.2 percent as of 30 September 2013, according to the Hamilton Lane documents. Fund II raised $3.09 billion in 2006 and was generating a net IRR of 9.9 percent, while the firm’s debut fund closed on $2.04 billion, delivering a net IRR of 33.3 percent.
Fund IV will invest in mid- and large-market companies primarily in the US, though Lindsay Goldberg’s prior funds have had exposure in Europe through a team of affiliate partners in Germany and Norway. Up to 40 percent of the capital can be invested outside of North America. Targeted industries include industrials, utilities, consumer products, and healthcare.
Lindsay Goldberg’s current investments include German plastic packaging producer Weener Plastik GmbH, US East coast-based asphalt producer, NuStar Asphalt, and Oklahoma oil and gas acreage operator Vitruvian, according to the firm’s website.
New York-based Lindsay Goldberg was founded in 2001 by managing partners Alan Goldberg and Robert Lindsay, who worked together in Morgan Stanley’s private equity business for 11 years. The Lindsay Goldberg team also includes six partners and three managing directors.
Louisiana Teachers expects to commit between $900 million and $1.1 billion to alternatives during the fiscal year ending 30 June. The Baton Rouge-based pension fund has invested $825 million to date, including a $50 million commitment to Stone Point Capital’s Trident Fund VI, PEI reported.