North Dakota State Investment Board is planning to approve a $200m (€164.7m) commitment to GCM Grosvenor’s latest infrastructure fund.
The pension fund said in a meeting document that it intends to commit the capital to Grosvenor Customized Infrastructure Strategies III, a global core-plus/value-add fund that targets diverse infrastructure sectors mostly in North America and Europe.
Strategies III seeks a $750m fundraise, an amount exceeding the $643m raised for the predecessor Strategies II fund.
At least 50% of Strategies III capital will be invested into co-investments or secondary investments in existing funds. Up to 50% of the fund will be invested into primary funds.
GCM expects 80% of Strategies III to be equity investments and up to 20% can be placed in debt-related transactions.
The fund will target net internal rate of return of 9% to 11% with gross annual cash yields of 3% to 5%.
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