US pension fund LACERS commits $25m to Baring Asia’s seventh fund

The Los Angeles City Employees’ Retirement System (LACERS) has announced a $25-million commitment to Baring Asia Fund VII, a $5.5-billion fund managed by Hong Kong-based Baring Private Equity Asia.

Baring Asia Fund VII is said to have hit a first close of $4.5 billion in July 2018. It has received a $15 million commitment from Texas Employees Retirement System, $25 million from Los Angeles Fire & Police Pension System and an interest from the Rhode Island State Investment Commission (RISIC).

In May 2018, Cliffwater recommended RISIC to invest up to $50 million in the Asian fund.

Baring Private Equity Asia had invested $8 billion across its six funds, generating a net IRR off 13 per cent and a multiple of 1.4x paid-in capital as of 31 December 2017, Cliffwater said in its recommendation letter.

Baring’s seventh vehicle was said to target mid-large company buyouts across Asia, to consist of as many as 25 investments in companies with enterprise values of $500 million and above, with equity financing in the region of $300-600 million.

During the first nine months of 2018, LACERS announced a total of $345 million commitments, mostly into US-based funds. The pension fund has increased its investments over the last 10 years, from only $33 million in 2009 to $375 million in 2017, it said in a board meeting document.

LACERS also proposed $550-575 million commitments for 2019, with annual increases of around $75 million to $100 million.

Its allocation for private equity is expected to be 12 per cent from the current 9.79 per cent.

US pension funds have been accelerating their Asia investments. Recently, the San Francisco Employees’ Retirement System announced new investments in CMC Capital Partners III and Lightspeed China Partners’s new $560 million fund family.

It had previously invested in a spate of other Asian funds, including Hillhouse Capital, PAG, Asia Alternatives, BFAM Partners, SB China Venture Capital, BGH Capital and Polaris Capital.

In 2017, Beijing-headquartered Sinovation Ventures’ $500 million Sinovation Fund IV bagged $75 million commitment from the Los Angeles County Employees’ Retirement Association.

Also read:

Baring PE Asia said to have made $4.5b first close for seventh fund

US pension fund SFERS commits $161m to CMC Capital, Lightspeed China, Fifth Wall funds

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.