Decision

To APPROVE:

GMPF to commit up to £400k as its proportion of a Revolving Credit Facility, being provided by the investors of a Private Fund Limited Partnership to support the short-term cashflow requirements of the Partnership.

The funding partners will seek to protect their position by including arrangement, early exit and non-utilisation fees, as part of the terms for the Revolving Credit Facility.

Reasons for the decision

GMPF makes commitments to Private Funds as part of the implementation of its Impact strategy in respect of asset classes such as Private Equity, Infrastructure, Property and Private Debt.  Such Private Funds are governed by agreements that lay out the rights and responsibilities of investors and managers in respect of each fund.

From time to time managers seek to amend the terms of such controlling agreements to reflect changes in circumstances that have occurred, or are expected to occur, throughout a fund’s life. In some such circumstances, these changes can alter the financial risk exposure of GMPF in manner that was not envisioned at the time of the original commitment, nor as provided for in the relevant agreement, as drafted, at the time of original investment. 

The Director of Pensions has delegated authority from the Fund to approve the granting of consent to requests of this nature.