New York State Teachers’ commits $350m

The $89bn retirement system unveiled commitments to Nautic Partners VII, Clearlake Capital Partners III and Silver Lake Partners IV in its October meeting materials.

The New York State Teachers’ Retirement System released information on three private equity commitments that closed during the third quarter, according to meeting materials. 

The $89 billion retirement system committed $350 million across Nautic Partners VII, Clearlake Capital Partners III and Silver Lake Partners IV, as well as a $60 million commitment to Rhone Partners IV that is pending due diligence, according to documents. 

“In terms of deal flow, staff reviewed 21 new proposals during the quarter,” according to documents. “While most did not pass our initial screening, we are conducting due diligence on several interesting opportunities. We continue to evaluate some funds that were received prior to this quarter.”

New York State Teachers’ had $14.8 billion in active commitments to private equity as of 30 September. Its portfolio in the asset class is valued at $7.2 billion, according to documents. The retirement system has 157 active partnerships across 73 private equity and venture capital firms. 

Nautic Partners is targeting $800 million for its eighth buyout fund, according to US Securities and Exchange Commission documents. New York State Teachers’ committed up to $100 million for the fund, which will target investments in the business services, communications, healthcare and manufacturing sectors. 

Silver Lake solidified a $200 million commitment from the retirement system for its fourth fund in July. The firm is targeting $7.5 billion. Silver Lake pursues various strategies for investments in the technology sector, including leveraged buyouts, growth investments, PIPEs and debt-focused transactions. 

In August, the retirement system committed $50 million to Clearlake Capital Partners III, which is targeting $600 million. Clearlake Capital traditionally invests across a variety of sectors and strategies, including business services, consumer products, retail, energy, power, industrials, technology, communications, defense, public safety, healthcare and media. 

Rhone had raised at least $564 million for the fund as of May, according to SEC filings. The filings do not disclose a target. The firm was founded in 1996 by former Goldman Sachs and Lazard executives who had specialised in cross-border transactions between the UK and France, according to Oregon Investment Council documents. 

Earlier this month, New York State Teachers' appointed Danielle Seger, formerly a private equity manager at Verizon, as a private equity investment officer.