USS Acquires $135 Million Interest
27 April 2010 New York
Image: Shutterstock
The Universities Superannuation Scheme (USS) has expanded its private equity investment programme by acquiring a $135 million interest in the Neuberger Berman Secondary Opportunities Fund II from the Lehman Brothers Estate. With this acquisition USS becomes the largest investor in the $1.77 billion fund raised in July 2008.
"We are delighted to welcome USS as a limited partner in our latest fund," said Brian Talbot, managing director and global head of secondary private equity at Neuberger Berman. "USS is a sophisticated investor and well respected in the private equity community. The fact that USS was interested in assuming such a large commitment to our fund is a strong vote of confidence in our team and strategy."
"This investment gives us a fantastic opportunity to gain more exposure to the secondary private equity returns with a highly experienced team, and strengthen our relationship with NB Alternatives," said Mike Powell, head of alternative assets at USS. "The transaction was led by our co-investment team at USS, an area of increasing focus as we continue to expand our private equity investment programme."
"This investment shows strengths of our opportunistic approach to private equity in general and co-investments in particular. We now have the resources to move quickly and commit significant capital to transactions with attractive risk adjusted returns such as this one," said Geoffrey Geiger, co-investment portfolio manager at USS.
The NB Secondary Opportunities Fund II is managed by an experienced team which has closed more than $4 billion in secondary transactions since 1991. Along with Mr. Talbot, the fund is run by managing directors Ethan Falkove and Tristram Perkins.
Following the USS transaction, the Lehman Brothers Estate retains an approximately $50 million interest in the fund.
"We are delighted to welcome USS as a limited partner in our latest fund," said Brian Talbot, managing director and global head of secondary private equity at Neuberger Berman. "USS is a sophisticated investor and well respected in the private equity community. The fact that USS was interested in assuming such a large commitment to our fund is a strong vote of confidence in our team and strategy."
"This investment gives us a fantastic opportunity to gain more exposure to the secondary private equity returns with a highly experienced team, and strengthen our relationship with NB Alternatives," said Mike Powell, head of alternative assets at USS. "The transaction was led by our co-investment team at USS, an area of increasing focus as we continue to expand our private equity investment programme."
"This investment shows strengths of our opportunistic approach to private equity in general and co-investments in particular. We now have the resources to move quickly and commit significant capital to transactions with attractive risk adjusted returns such as this one," said Geoffrey Geiger, co-investment portfolio manager at USS.
The NB Secondary Opportunities Fund II is managed by an experienced team which has closed more than $4 billion in secondary transactions since 1991. Along with Mr. Talbot, the fund is run by managing directors Ethan Falkove and Tristram Perkins.
Following the USS transaction, the Lehman Brothers Estate retains an approximately $50 million interest in the fund.
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