Carlyle Croup, the Washington-based private-equity firm gearing up for an initial public offering, received a commitment of as much as $750 million from the Municipal Employees’ Retirement System of Michigan.
MERS, which has more than $6.5 billion in assets under management, will allocate as much as $250 million to Carlyle and $500 million to AlpInvest Partners NV, the Dutch money manager Carlyle agreed to buy in January, the companies said in a statement today. The five-year pledge makes the Lansing, Michigan-based pension AlpInvest’s first U.S. client, according to the statement.
“AlpInvest has demonstrated an ability to access all aspects of the private-equity market and achieve top-quartile performance over multiple market cycles,” Jeb Burns, chief investment officer for MERS, said in the statement. “As one of The Carlyle Group’s managed accounts we gain access to various sector and geographically diverse funds.”
Carlyle is aiming to take advantage of more stable stock markets to join U.S.-listed rivals Blackstone Group LP, KKR & Co. and Apollo Global Management LLC. Blackstone, the world’s largest private-equity firm, has gained 17 percent this year in New York trading and KKR has risen 3.9 percent. Apollo has declined 13 percent since its March 29 offering.
Carlyle had $107.6 billion under management as of March 31, and AlpInvest oversees more than 42 billion euros ($59 billion), according to the statement.