The New York state pension fund is committing an additional $50 million for investments in New York State-based companies through its In-State Private Equity Investment Program. Investments will be overseen by Graycliff Partners, a new investment partner for the fund.
The In-State Private Equity Program invests in New York State-based companies seeking capital for growth, to refinance ownership or for early stage investment. To date, the program has returned $293 million to the state pension fund on 71 exited investments.
New York uses the fund as part of its local economic development and job creation efforts in addition to providing yield for the pension portfolio.
New York-based Graycliff Partners will oversee the program. Graycliff, formerly HSBC Capital, focuses on middle market private equity and mezzanine investments. For the program, the firm will invest in local buyout and growth equity opportunities. The firm also maintains a presence in Brazil.
“The In-State Private Equity Investment Program is proof that investing strategically in New York companies produces results. The program has returned nearly $300 million to the state pension fund and supported thousands of jobs across the state,” said New York State Comptroller DiNapoli.
Comptroller DiNapoli has more than doubled the pension fund’s commitment by adding $749 million to the In-State Program, total investments amount to approximately $760 million through September. Contour Venture Partners and DFJ Gotham are also managing partners in the program.
More than $440 million is available for investments in New York-based companies.