Texas Municipal Retirement System upsized its commitment to the flagship fund of growth-stage investor Updata Partners.
The system’s investment of as much as $25 million to Updata VI, which focuses on growth investments in software companies, will apply to its 2018 pacing plan rather than its 2019 PE pacing model, according to a presentation from its May meeting. The move boosted PE commitments for 2018 to $482 million.
The fund, which has a target of $300 million and a target net IRR of 25 percent, will make about 15 investments of $10 million to $35 million in companies generating revenue of $5 million to $50 million.
In December, Texas Municipal pledged $50 million to Updata’s sixth fund, as previously reported by VCJ affiliate publication Buyouts.
The system also invested $50 million in Updata’s fifth fund, which closed on $280 million in 2016, Buyouts reported.
The system’s current PE allocation is 1.6 percent, with a 5 percent target.
Texas Municipal did not respond to Active LPs’ request for comment.