The Washington State Investment Board has committed up to $350 million to two private equity funds, according to a spokesperson.
Washington State committed up to $200 million to EIG Global Energy Partners’ EIG Energy Fund XVI, a hybrid debt and structured equity vehicle focused on the energy sector. The fund has a $4.25 billion target and has raised about $4 billion, according to Private Equity International’s Research and Analytics division. The Alaska Teachers’ Retirement System and the Minnesota State Board of Investment have also committed to the fund, according to PEI data.
Washington DC-based EIG is a new relationship for Washington. EIG’s prior fund raised $4.12 billion in 2010, surpassing its $2.5 billion target. That fund was EIG’s first independently raised vehicle since spinning out from Los Angeles-based asset manager TCW in December 2010.
Washington State also approved an investment of up to $150 million in Technology Crossover Ventures’ TCV VIII. The Palo Alto, California-based growth equity fund launched in January and is targeting $2.5 billion. The Maine Public Employees Retirement System and Massachusetts Pension Reserves Investment Management Board also committed to Fund VIII, according to PEI data.
Washington State has not previously had a direct relationship with TCV, though investment firms Invesco and Pathway Capital Management had invested in TCV Funds II, III, IV, V and VI on behalf of the board.
TCV Fund VI raised $3 billion in 2007, which made it the largest venture-focused firm in history at the time, according to data from the National Venture Capital Association. The fund focuses on investments in the technology sector, in segments including enterprise software and communications infrastructure.
Washington State manages funds for 17 retirement plans for public employees, teachers, school employees, law enforcement officers, firefighters and judges, according to its website. With roughly $94.6 billion of total assets under management, its private equity portfolio has a market value of about $16.4 billion, as of 30 September.