WSIB makes $750m Stonepeak commitment

The investment includes $600m into the firm’s third fund, which reached a first close of more than $5bn last month.

The Washington State Investment Board committed $750 million to Stonepeak Infrastructure Partners, as the firm nears its third fund’s $7 billion hard-cap.

The commitment, made at Thursday’s board meeting, included $600 million for Fund III as well as $150 million for Stonepeak Evergreen Investment Partners, a co-investment vehicle.

In October, Fund III reached a $5 billion first close, making it already Stonepeak’s largest vehicle. With WSIB’s commitment, the fund is approaching its $7 billion hard-cap, which it is expected to reach in early 2018. The fund will aim for a 12 percent net internal rate of return, according to previously reported pension documents, and will target mid-market investments in North America.

WSIB, a $120 billion pension fund, previously committed $400 million to Stonepeak Infrastructure Fund II and before that $250 million to the firm’s first fund. The pension had roughly $3.5 billion invested in infrastructure prior to the Stonepeak commitment, according to Infrastructure Investor data.

Stonepeak’s first two funds raised $1.5 billion and $3.5 billion, respectively.