May 5, 2006
Comptroller: In-state investment program results in $920 million investment in New York companies
A new effort by the state’s Common Retirement Fund (CRF) has resulted in $920 million in public and private funds invested in New York companies since 2000, according to state Comptroller Alan Hevesi.
The CRF has made $425 million in capital available to 15 different funds for investments in New York, according to a release from the Comptroller's office. “This represents a $321 million increase from the $104 million available in January 2003 and a tripling of the number of managers,” the release said.
The retirement fund has invested $145 million in 64 New York companies, the release said. “Since CRF investments are always made with other investors, a total of $920 million has been invested in these 64 New York companies, including $450 million in upstate New York.”
“We have 66 professionals from 15 investment firms who have $750 million available to invest and who are searching the state for good investments. That network and the opportunity it creates for New York’s entrepreneurs did not exist before now,” Hevesi said.
“This program provides an answer to one of the missing links in New York’s economic development portfolio,”said Ed Reinfurt, vice president of The Business Council. “We now have talented groups of investment professionals scouring all parts of New York looking for opportunities for private capital investment.”
Legislation was passed in 1999 calling on the CRF to invest $250 million in New York companies, a release from the Comptroller’s office said.
As of 2003, the CRF had committed $104 million to the In-State Private Equity Investment Program,” the comptroller’s office said. “Since then, the CRF has added $321 million and now has a total of $425 million committed to 15 funds, far exceeding the original goal. Since the CRF requires its investment partners to put up their own money and raise other funds, the total pool of capital currently available is $750 million.”
“This program has resulted in a significant expansion in
the number of processionals focusing on equity investing in New
York: from an estimated seven in 1999 to 77 today," Hevesi
More information is available at www.osc.state.ny.us/press/releases/may06/050406.htm.