News & Analysis

HarbourVest to hold first close on HIPEP VIII

The fund of funds will invest in a mix of primaries, secondaries and co-investments, and the firm expects to hold a close in March.

-

HarbourVest Partners is targeting $1 billion for its latest fund of funds vehicle and expects to hold a first close by the end of March, documents from a US pension show.

The Boston-headquartered investment firm’s HarbourVest International Private Equity Partners VIII (HIPEP VIII) will invest in a mix of primary buyouts, secondaries and co-investments, according to the New Hampshire Retirement System’s 16 December independent investment committee meeting minutes.

HarbourVest has not changed its investment strategy as a result of Brexit, and the UK’s decision to leave the EU may create favourable private equity deals, executives from the firm told pension staff.

HIPEP VIII will focus on consumer growth opportunities globally.

The firm’s predecessor programme, HIPEP VII, launched in March 2014 and held the final close on its $2 billion target, according to PEI data. HarbourVest expects HIPEP VII, which is “nearly 85 percent committed, will be fully committed by early 2017”, the minutes show.

New Hampshire approved a $50 million investment in HIPEP VIII, as it did to HIPEP VII.

Separately, Vermont Pension Investment Committee, which invests on behalf of three retirement systems, committed $30 million to HIPEP VIII, according to minutes from its 13 December meeting.