The state of Florida has launched the Florida Growth Fund and will seek to invest an initial $250 million in Florida private equity partnerships and/or direct co-investments in Florida-based companies. This initial investment is part of the Florida Technology and Growth Investment Initiative created by the Florida Legislature in 2008. Florida’s State Board of Administration (SBA), which manages the $125 billion Florida state pension fund, selected Hamilton Lane Advisors to manage the Florida Growth Fund for a three year investment period. Key features of this Florida Growth Fund launch are:

Capital Deployment

The Florida Growth Fund will target 20-25 companies in this initial phase. Hamilton Lane expects the average investment size to range from $5 to $15 million.

Portfolio Construction

The Florida Growth Fund will focus on venture capital, growth equity, and small to mid-sized buyouts in the following sectors:

  • Technology (space/computer)
  • Aerospace and aviation
  • Renewable energy
  • Medical and life sciences
  • Businesses domiciled in Florida
  • Businesses that have demonstrable, material Florida operational presence

If the fund is successful in this initial phase, look for the SBA to consider increasing the state’s investment in the Florida Growth Fund to $500 million or more. Hamilton Lane now is accepting information about investment opportunities, and more information can be found soon at www.floridagrowthfund.com.